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First Step House 2014 Public Disclosure Copy (FYE 06.2015)STATEMENT THAT THIS IS A TAX RETURN NOT A FINANCIAL STATEMENT The accompanying federal income tax return does NOT constitute a financial statement.

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How to fill out consolidated financial statements

01

Prepare separate financial statements for each affiliated company.

02

Eliminate intercompany transactions and balances.

03

Adjust for differences in accounting policies and fiscal periods among the companies.

04

Calculate non-controlling interest in subsidiaries.

05

Combine financial statements of each entity to create consolidated financial statements.

Who needs consolidated financial statements?

01

Investors who want a complete picture of the financial health of a group of affiliated companies.

02

Regulatory bodies that require companies to provide consolidated financial statements for transparency and compliance purposes.

03

Creditors who want to assess the overall financial strength and risk of a group of companies.

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What is consolidated financial statements?

Consolidated financial statements are financial statements that combine the financial results of multiple subsidiary companies into one set of financial statements for a parent company.

Who is required to file consolidated financial statements?

Publicly traded companies and companies with significant ownership in other companies are required to file consolidated financial statements.

How to fill out consolidated financial statements?

Consolidated financial statements are typically prepared by combining the financial statements of the parent company and its subsidiaries, eliminating intercompany transactions, and adjusting for any differences in accounting policies.

What is the purpose of consolidated financial statements?

The purpose of consolidated financial statements is to provide a comprehensive view of the financial position and performance of a group of companies as a single economic entity.

What information must be reported on consolidated financial statements?

Consolidated financial statements must include the combined assets, liabilities, equity, income, expenses, and cash flows of the parent company and its subsidiaries.

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