The difference between the end of the reporting period of a subsidiary and that of its parent should not exceed six months. True or false?

FALSE

FALSE; Per IFRS10 Consolidation procedures, the reporting dates (between a Parent and its Subsidiary) cannot vary by more than3 months.

True as per Indian AS

False, There is nothing as such defined in any of the standards about the period, except for the consolidation which should be done for same period (normally of the parent reporting period)

Hypothetically, if it is not first year of acquisition or there is no change of interest;  we can not increase it more than six months, because7 months behind/ahead means subsidiary or parent company is5 months ahead/behind and8 months ahead/behind means4 months behind/ahead.

e.g.

Parent                          Subs

Jan2012-Dec2012         Jul2012 - Jun2013        6 months

Jan2012-Dec2012         Jul2011 - Jun2012        6 months

Jan2012-Dec2012         Aug2012 - Jul2013        7 months ahead

Jan2012-Dec2012         Aug2011 - Jul2012        5 months behind