Minority interests affect only the balance sheet of the consolidated financial statements.

Question

Quizplus · Accepted Answer

Minority interests, also known as non-controlling interests, affect not only the balance sheet but also the income statement of the consolidated financial statements. They represent the portion of a subsidiary not owned by the parent company and are shown in the equity section of the balance sheet, while their share of the subsidiary's net income or loss is reflected in the income statement.

Minority Interests Affect Only the Balance Sheet of the Consolidated