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Report of Independent Auditors and Consolidated Financial StatementsCommunity Hospitals of Central California and Affiliated Corporations DBA Community Medical Centers August 31, 2014, and 2013CONTENTSREPORT×OF INDEPENDENT×AUDITORSCONSOLIDATED×FINANCIAL×STATEMENTSConsolidated×balance×sheetsConsolidated×statements×of operationsConsolidated×statements×of changes×in net×assetsConsolidated×statements×of cash×footnotes×to consolidated×financial×statementsSINGLE×AUDIT
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Step 1: Gather all the necessary financial data including balance sheets, income statements, and cash flow statements.
02
Step 2: Review the financial data to ensure accuracy and completeness.
03
Step 3: Prepare the consolidated financial statement by combining the financial data of the parent company and its subsidiaries.
04
Step 4: Adjust the financial data for intercompany transactions and eliminate any double counting.
05
Step 5: Calculate key financial ratios and metrics using the consolidated financial statement.
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Step 6: Analyze the consolidated financial statement to evaluate the overall financial performance and position of the company.
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Step 7: Present the consolidated financial statement in a clear and organized manner, including detailed notes and disclosures.
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Step 8: Obtain necessary approvals and sign-offs from relevant stakeholders before finalizing the consolidated financial statement.

Who needs and consolidated financial statements?

01
Publicly traded companies: They are required by regulatory bodies to prepare and file consolidated financial statements to provide a comprehensive view of their financial performance to investors.
02
Large corporations with subsidiaries: Consolidated financial statements are crucial for these companies to understand the financial health and performance of their entire corporate group.
03
Financial institutions: They rely on consolidated financial statements to assess the creditworthiness and risk exposure of their clients before extending loans or providing financial services.
04
Government agencies: Consolidated financial statements help government bodies to track and monitor the financial activities of companies under their jurisdiction.
05
Investors and shareholders: They use consolidated financial statements to make informed investment decisions and evaluate the performance and stability of companies in which they have invested.
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Consolidated financial statements are financial statements that combine the financial results of multiple entities under common ownership into a single set of reports.
Publicly traded companies and certain other entities with subsidiaries are typically required to file consolidated financial statements.
Consolidated financial statements are usually prepared by combining the individual financial statements of each subsidiary with that of the parent company, adjusting for any intercompany transactions.
The purpose of consolidated financial statements is to provide a comprehensive view of the financial performance and position of a group of companies under common ownership.
Consolidated financial statements typically include balance sheets, income statements, cash flow statements, and accompanying notes.
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