Consolidation

1) One subsidiary sells fixed assets at loss to other subsidiary.?

H is holding co. A & B r subsidiaries...A sold Fixed asset costing Rs 1000/- at Rs 750/- to B ie at a loss of Rs.250/-

therefore before apportioning the profit of A among Holding Co & Minority Holders increase the profit of Rs.250/-  

No adjustment regarding the profits of B

yaa agree with shanib , and asset to be shown at Rs. 1000 in consolidated statement

and

2) Goods sold to subsidiary by Holding company and vice-versa ?

it the sold goods is again sold by the purchaser co. (holding or subsidiary) no adjustment is to be made. however if goods is lying in stock, proportionate profit or loss on stock lying in stock is to be adjusted through such stock and share of holding in profit or loss on such stock to be adjusted 
 

@ Shanib - That we know that elimant of profit should reduce but what should be JV and how it should be impected in FA schedule practicaly?

@ takeshwar - It is better if you give example and how it should be impected in financial statement practicaly ? 

Hi, I had gone through the query and according to me following is the solution for the same

"A" holding company sold fixed asset having WDV of Rs. 1,000 to its subsidiary at Rs. 750/-

 Loss of Rs. 250 accuring to A should be reversed by passing the entry

1.     Loss on the sale of fixed asset Rs. 250 (debit)

Fixed assets 250 (credit)

Also the depreciation on the profit margin of fixed asset should be reversed by passing the entry

2.     Accumulated depreciation Rs. 25 (debit)

Depreciation Rs. 25 (credit)

In the subsequent years again this entry has to be passed (where instead of Loss on sale of fixed asset  & depreciation expense the debit should go to retained earnings) with depreciation for subsequent year is to be eliminated in that year

Please let me know if you have understood

The fixed asset is sold the my example given by me at Rs. 1,250 (instead of Rs. 750) and hence the gain is reversed.