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MC Question 12
Consolidated financial statements are presented on the basis that the companies within the group are treated as if they are a single (economic) entity.
Which of the following are requirements of preparing group accounts?
| (i) | All subsidiaries must adopt the accounting policies of the parent |
|---|---|
| (ii) | Subsidiaries with activities which are substantially different to the activities of other members of the group should not be consolidated |
| (iii) | All entity financial statements within a group should (normally) be prepared to the same accounting year end prior to consolidation |
| (iv) | Unrealised profits within the group must be eliminated from the consolidated financial statements |
A All four
B (i) and (ii) only
C (i), (iii) and (iv)
D (iii) and (iv)