Dear All

Please help me in giving the necessary accounting treatment and in preparing the cash flow presentation for the below mentioned query


A holding company ABC has three subsidiary namely DEF(100% subsidiary), GHI (100% subsidiary) and JKL (60% subsidiary). Now ABC has transferred its entire holding of GHI and JKL to DEF. Against the sale consideration DEF has alloted its shares to ABC.

Now please advice at the time of consolidation, what accounting treatement is to be passed and how to present the cash flow.

your early response will be able to help me in completing my books.


best regards

Suraj Ratan Mohta

+91 98202 97934