When calculating the direct non-controlling interest share of equity,consolidation adjustments are needed to:

Question

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When calculating the direct non-controlling interest share of equity, consolidation adjustments are needed to fully eliminate any unrealised profits or losses from intragroup transactions, which includes intragroup service transfers as well as inventory transfers. This is in accordance with the guidance provided by International Financial Reporting Standards (IFRS) that require unrealised profits or losses to be eliminated in consolidation to ensure that consolidated financial statements reflect the economic substance of the underlying transactions. Therefore, choices A, B, and D are incorrect.

When Calculating the Direct Non-Controlling Interest Share of Equity,consolidation Adjustments