Financial statements that show the financial position,results of operations,and cash flows of all entities under the parent company's control,including all subsidiaries are known as:
A)Combined financial statements
B)Consolidated financial statements
C)Equity financial statements
D)Statement of owner's equity
E)Investor financial statements

Question

Quizplus · Accepted Answer

Consolidated financial statements show the financial position, results of operations, and cash flows of all entities under the parent company's control, including all subsidiaries. Combined financial statements combine the financial information of two or more companies, but may not necessarily include all subsidiaries of a parent company. Equity financial statements and statement of owner's equity focus solely on the equity section of the balance sheet. Investor financial statements do not exist as a standard financial statement.

Financial Statements That Show the Financial Position,results of Operations,and Cash