An investment of 50% or more of a company's voting shares will require the investor to prepare consolidated financial statements.

Question

Quizplus · Accepted Answer

A controlling interest of 50% or more means that the investor has the power to make decisions that affect the financial and operating policies of the company. This requires the investor to prepare consolidated financial statements that combine the financial results of the investor and the investee company.

An Investment of 50% or More of a Company's Voting