(1) Adjust individual reports of subsidiaries
(1) Based on the fair value of the purchase date, the difference between the identifiable assets and liabilities of the subsidiary and its book value is confirmed and included in the "capital reserve";
② Reflect the identifiable assets and liabilities of the above subsidiaries as the current balance sheet date, and adjust the net profit at the same time.
(2) Adjust the individual statements of the parent company
① Adjust the long-term equity investment and investment income of the parent company according to the difference between the adjusted subsidiary net profit confirmation cost method and the equity method;
② Confirm and adjust the long-term equity investment and capital reserve of the parent company according to the changes of other owners' equity of subsidiaries;
(3) the equity method of adjusting the internal transactions between the parent company and the associated enterprises and joint ventures to meet the requirements of consolidated statements.
Characteristics of fixed funds:
1, the period of fixed capital is relatively long, which does not depend on the production cycle of products, but on the service life of fixed assets.
2. The value compensation and physical renewal of fixed funds are carried out separately. The former is gradually completed with the depreciation of fixed assets, and the latter is realized by using the depreciation funds accumulated at ordinary times when the fixed assets are unusable or unsuitable for use.
3. When purchasing and building fixed assets, you need to pay a considerable amount of monetary funds. This investment is one-off, but it will be recovered by stages through depreciation of fixed assets.
Refer to the above content: Baidu Encyclopedia-Fixed Assets