Skip to content

CS Executive · Corporate Accounting and Financial Management · Consolidation of Accounts

Under Ind AS 110, where must non-controlling interests be presented in the consolidated balance sheet?

Non-controlling interests are shown within equity, but separately from the equity attributable to the owners of the parent. They are not a liability and are not merged into the parent's reserves, as required by Ind AS 110.

  1. AWithin equity, separately from the equity of the owners of the parentCorrect
  2. BBetween non-current liabilities and current liabilities
  3. CAs a deduction from the parent's investment in subsidiaries
  4. DWithin the parent's reserves and surplus without separate disclosure

Explanation

Ind AS 110 (para 22) requires a parent to present non-controlling interests within equity, separately from the equity of the owners of the parent. Showing them as a liability, which AS 21 style presentation avoids by separate disclosure, or merging them into reserves is not permitted.

Did you get it right without looking?

One question tells you little. A timed set on Consolidation of Accounts shows your real accuracy, how long you take and where you lose marks.

Practise Consolidation of AccountsFree diagnostic mock

More Consolidation of Accounts questions