Urgent! ! Does the parent company need to confirm the investment income?

The parent company uses the cost method to calculate the subsidiary, and the subsidiary can only reflect the investment income by paying cash dividends, so this 1W does not need to be calculated.

When compiling consolidated statements, one adjustment entry and two consolidated entries should be made;

Tuning:

Borrow: long-term equity investment-profit and loss adjustment 1W (the adjustment is the parent company statement, which is the consolidated statement).

Loan: investment income 1W

Close:

Debit: undistributed profit 1W

Loan: long-term equity investment 1W

Borrow: investment income 1W (this is done in the consolidated statement)

Credit: profit distribution, etc. 1W

The above consolidated entries are simplified and the other principles are the same.

In the end, there was no response. There is no return on that investment. The parent-subsidiary company is originally a company. There is no investment between mother and son, and there is no profit distribution between mother and son.