Basics of consolidation under IFRS

Who are the intended participants?

• Accountants and staff of finance functions who need to prepare consolidated financial statements or understand them
• Staff of reporting functions in charge of assessing and compiling information for the purposes of group consolidation
• Companies who have become subject to the obligation to consolidate
• Others who come across consolidations within the business

Programme

• Basic concepts of consolidation (control, substantial influence, subsidiary and associate, jointly controlled entity)
• Consolidated financial statements and exceptions from the obligation to consolidate
• Consolidation methods (full and equity method)
• Business combinations / acquisitions and their effect on consolidated financial statements (calculation of goodwill and non-controlling interest)
• Partial steps in the preparation of consolidated financial statements
  • Elimination of mutual relations
    • Current
    • Non-current
  • Consolidation adjustments
    • Remeasurement and new assets/liabilities from acquisition
    • Identical accounting policies
  • Translation to reporting currency

Benefits

During the course, you will get to:

• Understand the basic terminology of consolidation
• Familiarise yourself with the partial steps that need to be taken when compiling consolidated financial statements
• Understand the process of preparation of consolidated financial statements, which is a prerequisite for their subsequent analysis