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minority ownership (FI-LC)

Consolidation (FI-LC)

An statement of the share of an FS item's value, where the share belongs to a company that is not controlled by any of the companies of the consolidated group.

Minority ownership is computed during consolidation of investments and is stated on separate items in the consolidated financial statements.

FI-LC performs the following computations:

The amount is derived from the equity of proportionally consolidated companies or subsidiaries, and is stated on the liabilities side of the balance sheet either as a single accumulated figure or as separate figures differentiated by the equity's parts (such as common stock, retained earnings, and so on).

This is the difference between the investment book value and the group share of the immediate parent company.

Minority interest in investments is a characteristic of simultaneous consolidation and can be disclosed with minority ownership in equity.

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