标题: FSA question on equity [打印本页] 作者: dandman 时间: 2011-7-13 16:30 标题: FSA question on equity
between all three methods (equity, prop cons, and acq) if NI is the same and ROE is the same it would reason that SE of the parent goes unchanged, but i've seen examples where that is not the case. Could someone explain how the equity changes in each? Thanks.作者: jacksparrow 时间: 2011-7-13 16:30
Minority Interest is added in Acq mathod, not in the other two作者: random_walker47 时间: 2011-7-13 16:30
thats what i thought, thanks for the clarification!作者: tianxin 时间: 2011-7-13 16:30
...so ROE should not be the same, yes?作者: needhelp1700 时间: 2011-7-13 16:30
Same for Equity and Proportional Consolidation, different fro Acquisition作者: xilinx_altera 时间: 2011-7-13 16:30
SHE Acquisition Method:
SHE acquisition financed by cash .. Non controlling interest only (amount of SHE for target x non controlling interest ).
SHE acquisition financed by stock (100%) acquisition ..
NO minority interest, you just add the amount paid to the stockholders equity.
SHE acquisition financed by stock (90%) - Full goodwill
If it's full goodwill then amount of minority interest is ( amount paid / controlling % ) x (non controlling interest)
If its partial goodwill then amount of minority interest is (amount paid - (Assets - Liabilities)xnon controlling interest).作者: Sportsman 时间: 2011-7-13 16:30
Bilal,
Just one minor point,
SHE in case of stock purchase of less than 100% stake will also require Capital Stock account to be increased by amount paid for the acquisition.
