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The Accounting of Consolidation Differences in the European Accounting Practice

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  • Massimiliano Celli

Abstract

This paper aims at recognising the accounting methods for consolidation differences in the IAS/IFRS consolidated financial statements actually utilised by the major parent-companies listed on regulated markets in the lead EU Countries. To this end, first of all the accounting criteria for positive and negative consolidation differences in the consolidated financial statements established by IFRS 3 have been recognised. Then, a sample of No. 250 parent-companies listed on regulated European markets and that prepare their consolidated financial statements in accordance with IAS/IFRS has been selected, in order to ascertain the effective accounting methods commonly used by European business practice. Finally, some aspects of special interest that emerged from the results of the empirical survey will be analysed, together with some questions that the same results have produced.

Suggested Citation

  • Massimiliano Celli, 2021. "The Accounting of Consolidation Differences in the European Accounting Practice," International Journal of Business and Management, Canadian Center of Science and Education, vol. 14(12), pages 102-102, July.
    • Handle: RePEc:ibn:ijbmjn:v:14:y:2021:i:12:p:102
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    3. Caterina Pesci & Paolo Andrei, 2011. "An Empirical Investigation into the Boundary of Corporate Social Reports and Consolidated Financial Statements," Social and Environmental Accountability Journal, Taylor & Francis Journals, vol. 31(1), pages 73-84, April.
    4. Beaver, William H. & Correia, Maria & McNichols, Maureen F., 2011. "Financial Statement Analysis and the Prediction of Financial Distress," Foundations and Trends(R) in Accounting, now publishers, vol. 5(2), pages 99-173, May.
    5. A. Verriest & A. Gaeremynck, 2009. "What Determines Goodwill Impairment?," Review of Business and Economic Literature, Intersentia, vol. 54(2), pages 106-129, June.
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    More about this item

    JEL classification:

    • R00 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General - - - General
    • Z0 - Other Special Topics - - General

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