In calculating indirect minority interests,intragroup transactions need not be eliminated.

Question

Quizplus · Accepted Answer

In calculating indirect minority interests, intragroup transactions are eliminated, as they represent transactions between the parent company and its subsidiaries, and not transactions with third parties. This elimination ensures that the minority interest is calculated based on the value of the subsidiaries as if they were standalone entities.

In Calculating Indirect Minority Interests,intragroup Transactions Need Not Be Eliminated