Consolidation of a Foreign Subsidiary

Hi,

If a Foreign Subsidiary is consolidated in an Indian parent Company's financial statements, then where is the domestic income of such foreign subsidiary classified in the consolidated financial statements? Export Income or Domestic Income. Also give rerefence to relevant paragraph of AS-21 if possible.

 

Replies (1)

In my opinion, the foreign subsidiary's domestic income will be added to the domestic income in Indian Holding Company, as the consolidation is done on line by line basis.

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