In the consolidated financial statements of the parent entity and its controlled entities only transactions with assets and liabilities relating to parties external to the economic entity will be reflected.
TRUE

Question

Quizplus · Accepted Answer

The transactions with assets and liabilities relating to parties internal to the economic entity will be eliminated in the process of consolidation. Only those transactions with external parties will be included in the consolidated financial statements to avoid double counting.

In the Consolidated Financial Statements of the Parent Entity and Its