Group Accounting

This course will enable you to

• Define group structures and be aware of who must prepare group accounts
• Understand how to approach the preparation of consolidated financial statements
• Explain how group status changes depending on acquisitions and disposals
• Grasp the complexities of audit planning for a group

About the course

Group accounting aims to enable all involved companies to present as a single entity. This requires a methodical approach, particularly as complexity increases with the group’s size and changes in control of subsidiaries. The preparation of consolidated financial statements therefore presents challenges, necessitating consistent group-wide controls.

This course explores the structure of groups and how varying levels of percentage ownership interest can impact relationships between group members. It summarises the strategy needed for group audits, detailing how the group audit engagement team interacts with component auditors to avoid risks of material misstatement, and highlights the common errors and assumptions made during group audits.