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These two methods do not lead to consolidating the financial statements.
Once the company owns 50 percent of another company, then the company uses the acquisition method and must consolidate the financial statements.
There are five important rules an accountant must follow when consolidating.
Third, the accountant creates a "Non-Controlling Interest" account if the company owns less than 100 percent of the subsidiary.
To ask questions about consolidating your loans before you apply for a Direct Consolidation Loan, contact the Loan Consolidation Information Call Center at 1-800-557-7392.
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He received a CALI Award for The Actual Impact of Master Card's Initial Public Offering in 2008.
Mc Bride is an attorney with a Juris Doctor from Case Western Reserve University and a Master of Science in accounting from the University of Connecticut.
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