Inscrivez-vous ou connectez-vous pour rejoindre votre communauté professionnelle.
Your question is not clear. My understanding of the question is, when in a Consolidated Financial Statements (CFS) of a Holding Company the Minority interest is shown as a liability, what is the treatment to be accorded to the investment in subsidiary A/c balance and the subsidiary company's capital a/c balance, in the CFS of the holding company.
Presuming the above to be the question, the answer is to net off both against each other and either a goodwill or gain on bargain purchase / Capital Reserve / Merger reserve as the case may be would arise. Of course the calculations and formula (i.e. the other items deductible from the investment balance such as share of pre-acquistion profits / dividend paid etc) would depend upon the specific circumstances of the case
