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sivaram (Asst Mgr-Taxation) 10 February 2012
Debtors owes some money to creditors
creditors owes money to debtors
both are eliminated in a group transaction on consolidated balance sheet by passing entry creditors a/c dr to debtors
Jithin (Learner) 10 February 2012
Mutual Owing:Any amount due to a subsidiary co. from its holding co. or any amount due to a holding co. from its subsidiary co.
Reason for deducting mutual owings: When u prepare consolidated balance sheet, u have to actually treat the holding co. & its subsidiary as a single entity. The owings between holding co. & its subsidiary doesnt have any effect on the combined assets & liabilities of the holding co. & its subsidiary. Such owings just inflate the debtors & creditors, & should be deducted. U have to only include the owings to & from outsiders.
Megan Neal (larahoddle) 08 September 2019
For me trust doesn’t mean to relay on the people. But it means to stay by the side of the person instead of knowing all of his weaknesses. Trust is the strongest emotions as you can conquer everything but also the weakest as once its shattered you can’t fix it. The bestwritingservice also discusses a lot about trust.