Under the proprietary concept of consolidation,minority interests are shown as a liability:

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Under the proprietary concept of consolidation, minority interests are shown as a liability because the parent company only owns a portion of the subsidiary, and the remaining portion belongs to the minority shareholders. Therefore, the portion of the subsidiary's assets and profits belonging to the minority shareholders is shown as a liability on the parent company's consolidated balance sheet.

Under the Proprietary Concept of Consolidation,minority Interests Are Shown as a Liability