Abstract
The current paper covers the financial statement presentation and disclosures. International Accounting Standards (IAS) 27 provides clear guidelines on when an entity has to consolidate its statements with another entity. The paper first identifies the four conditions needed while making presentations and disclosures of consolidated financial statements. One of the conditions is the company is not required but may present the consolidated financial statements if the parent is itself a wholly-owned subsidiary. The consolidated financial statements need to disclose the nature of the relationship between the parent and subsidiary to establish whether it is a direct or indirect relationship. ...