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Flashcards in Combined Financial Statements Deck (3)
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What is a Combined Financial Statement?

combined financial statements are the product of bringing together the financial statements of two or more related firms


When is a combined financial statement appropriate?

Under common control, common management or for unconsolidated subsidiaries


What is the difference between a consolidated financial statement and a combined financial statement?

the resulting combined financial statements do not represent the financial position, results of operations or cash flows of a single controlling entity, but rather the aggregate results of the combined companies after eliminating intercompany account activity and balances