On consolidated financial statements, where does the parent's equity in the net income of the subsidiary account appear?

Question

Quizplus · Accepted Answer

In consolidated financial statements, the parent's equity in the net income of the subsidiary is eliminated during the consolidation process to avoid double counting. The income of the subsidiary is integrated into the consolidated income statement as part of the total income, not separately listed as the parent's equity in the subsidiary's net income.

On Consolidated Financial Statements, Where Does the Parent's Equity in the Net