CIMA F2 Syllabus C. Group accounts - SOCIE - Notes ^{1 / 1}

Consolidated Statement of change in Equity (SOCIE)

• It is a primary statement required by IAS 1 Presentation of Financial Statements.

• Is relevant to the parent's shareholders and to the external shareholders in subsidiaries (non-controlling interests NCI).

• It includes all changes in Consolidated Equity that happened during a year

Consolidated Equity includes:

1. Parent’s Share capital ONLY

2. Parent’s Share premium ONLY

3. Consolidated Reserves (Retained earnings, Revaluation Surplus)

Dividends paid

On consolidation, always include dividends paid by:

• Parents to their shareholders

• Subsidiaries to third parties (NCI)  ONLY

Share issue

If a parent issues shares:
This should be recorded as an increase to the equity attributable to the owners of the parent.

Eg. A parent Co. issued 1,000 shares for $5.00 per share.
Record an increase to the equity attributable to the owners of the parent:
1,000 x 5 = $5,000