Intragroup transactions that are to be eliminated in the consolidated accounts include:
A) Inter-entity loans.
B) Inter-entity sales of non-current assets.
C) The payment of management fees to a member of the group.
D) The transfer of tax losses between entities in the group without consideration being paid.
E) All of the given answers.

Question

Quizplus · Accepted Answer

All of the given options are examples of intragroup transactions that need to be eliminated in the consolidated accounts in order to avoid double counting of assets, liabilities, revenues, and expenses. Inter-entity loans, inter-entity sales of non-current assets, the payment of management fees, and the transfer of tax losses between entities in the group are all examples of intragroup transactions that require elimination in consolidation.

Intragroup Transactions That Are to Be Eliminated in the Consolidated