group is multiple you see.
EDIT: Often an organisation will release both a group statement and a company statement. Group refers to the company in question and all its subsidiary holdings. This is because users of financial statements might want to know how the companies "core" operations are going as opposed to looking at the group statement which could have profits boosted by a different operation etc.
Edit2:
There is only a difference between the two statements for firms that hold shares in subsidiaries.
A subsidiary is a company that the parent company has control over, usually (but not necessarily) when the parents holds more than 50% of the shares.
In the company statements a financial interest in a subsidiary is shown as a line item ('subsidiaries') on the balance sheet. Depending on the valuation method used, dividends received or a profit share can be included in the income statement. (depending whether the cost method or equity method is used)
In the group financial statement (also called consolidated financial statement) the item subsidiaries is no longer included. Instead, the underlying assets and liabilities of the subsidiaries are shown. Similarly for the income statement, the subsidiaries expenses and revenues are included.
The group statements are usually informative, while the company statements provide little information. For example, the balance sheet of a listed company which is a holding company will have subsidiaries as its main asset (hence a single item as its assets). The consolidated balance sheet will show the actual assets (PPE, inventories, cash, etc) of the various subsidiaries. (Same principle for income statement).
Comparative financial statements compares one set of financial statement with another set of financial statements while consolidated financial statement is prepared where in company there is parent and child company relationship exists to join the financial statements of parent and child company as a single financial statements.
Annual financial statements are the financial statements dated as of the company's fiscal year-end and reports the results of the previous 12 months of activities. Interim financial statements are the financial statements prepared for those periods of time (monthly, quarterly, etc.) between the company's annual financial statements. Assume a company has a June 30th fiscal year-end. The company would issue annual financial statements dated 06/30/07, 06/30/08, etc. However, the company's 09/30, 12/31, and 03/31 quarterly financials would be termed interim financials.
Financial accounting is used to present the performance and financial statements to third parties while management accounting is used for company's internal working purpose.
The main difference between consolidated and parent entities is that consolidated financial statements show the activities of the parent company and all of its subsidiaries. A stand alone, or parent financial statement, treats each subsidiary as a a separate entity.
hen a large company acquire one or more small companies then acquiring company is called the parent company and acquired companies are called subsidiary companies so when the financial statements of parent company and subsidiary companies are prepared in one financial statement altogether those financial statements are called consolidated financial statements.
When there is parent subsidiary relationship exists and in that case if separate financial statements are prepared by both parent and subsidiary company those statements are called unconsolidated statements.
Financial accounting is the preparation of financial statements for decision makers. Cost accounting is collecting, analyzing, summarizing, and evaluating courses of action. Management accounting is simply used to better a company by reviewing the accounting information.
What's your question
to see if they trust the company
To ensure that financial events are accurately and appropriately recorded in the company's financial and or financial statements.
To ensure that financial events are accurately and appropriately recorded in the company's financial and or financial statements.
An accountant prepares a company's financial statements and reports. They provide a company with its economic situation. An auditor is usually an independent examiner who reviews a company's financial records.