Evaluate bank borrowers, whether to use the headquarters statement or the consolidated statement

You should look at the consolidated statements.

The accounting standards require that all subsidiaries within the scope of consolidation be included in the consolidated financial statements. Consolidated financial statements should be determined on the basis of control, which is the ability to determine the financial and operational policies of another enterprise and to derive benefits from the business activities of the other enterprise. The statement provided by the enterprise to the public is a consolidated statement, which reflects the overall financial status and operation of the listed company.

If you only look at the parent company's statement, the data is incomplete. For example, if the parent company loses money and the subsidiary makes a profit, it is still profitable after the merger, if you only look at the parent company's statements, you will come to the wrong judgment of the loss; Vice versa.

1. The equity method should be used for long-term equity investment for accounting treatment.

2. It cannot be regarded as a subsidiary parent company, and there is no need to make consolidated accounting statements!

1.Whether it is a joint-stock company or a company that has a significant impact on the business activities of the invested company, the equity method should be adopted.

2.If you count the parent company, you must make a consolidated statement.

1. The cost method needs to be used to account for the long-term equity investment. The method used to account for long-term equity investment is determined by the degree of control of the investment company over the investee, not by the nature of the investment company.

2. Your company is the parent company and should issue consolidated statements.

Supplement: If it is a control, the cost method should be used, and the equity method should be used for the consolidated statements. Joint control and significant influence are made using the equity method.

Consolidated statements are generally used by relevant units and personnel outside the enterprise. For example, banks, shareholders, creditors, and so on. The tax bureau does not need it, because it is an independent tax payment, and the tax bureau is concerned with a single statement.

The main users of the consolidated statements are shareholders, and if they need to borrow money from banks, the bank needs to look at the consolidated statements.

Consolidation is consolidation. I guess you are experiencing this problem in the business of lending to banks. In other words, the bank wants to consolidate the financial statements of several capital-related companies and observe the overall size and situation.

It is not a simple addition, but also to exclude factors such as internal transactions between enterprises.

Consolidated supervision refers to a regulatory approach that takes into account all the risks faced by a bank or banking group, regardless of where its institution is incorporated, from the perspective of the banking group as a whole on the basis of consolidated statements.

English stands for Consolidated Supervision, which is widely used in the United Kingdom, the United States, Europe, Hong Kong and other regions with developed banking industries. The UK is a pioneer and expert in this area. If you want to know more, you should check out the FSA documentation, as well as some other independent research institutes in the UK**.

Bank assets include: cash, loans, and investments, all of which are risky assets.

According to the Basel Accord, these three types of assets are classified according to different risk levels. Specifically, it is divided into on-balance sheet risk assets and off-balance sheet risk assets.

On-balance sheet risk assets Amount of on-balance sheet assets Risk weight.

Off-balance sheet risk assets Off-balance sheet assets Credit conversion coefficient The corresponding on-balance sheet asset weighting agreement stipulates that the bank's capital should account for more than 8 of the risk assets.

In general, the outstanding accounts are reflected in the bank balance reconciliation statement. The so-called unreached account refers to the inconsistency of the bookkeeping time due to the difference in the actual time when the enterprise and the bank obtain the voucher, and one party has obtained the settlement voucher and has been registered in the account, while the other party has not obtained the settlement voucher and has not yet entered the account. There are four areas where non-accounts can occur between businesses and banks:

First, the bank has received the money in the account, and the enterprise has not received the bank's notice of collection, so the payment has not been received, (the bank has received but the enterprise has not received) for example, entrusting the bank to collect the money. Second, the bank has made the payment into the account, but the enterprise has not received the payment notice from the bank and therefore has not paid the amount in the account, (the bank has paid but the enterprise has not paid) such as the deduction of loan interest, collection without commitment, etc. The third is that the enterprise has received the money into the account, but the bank has not completed the transfer procedures, so Lu Jing has not received the money in the account, (the enterprise has received but the bank has not received) for example, the transfer check received from the foreign unit, etc.

Fourth, the enterprise has paid into the account, but the bank has not completed the transfer procedures and therefore has not paid into the account, (the enterprise has paid but the bank has not paid) for example, the enterprise has issued a check and the bearer has not yet withdrawn or transferred money to the bank. In the first and fourth cases, the book balance of the bank deposit of the account opening unit will be less than the deposit balance of the bank statement; In the second and third cases, the book balance of the bank deposit of the account opening unit will be greater than the deposit balance of the bank statement. In either case, the deposit balance of the account opening unit will be inconsistent with the deposit balance of the bank statement, and it is easy to issue a bad check.

Consolidated supervision can synthesize the scattered regulatory information of foreign-funded banks and establish a complete comprehensive regulatory information file for each foreign-funded legal entity and foreign bank, which can help the CBRC to more fully understand the disorderly institutions, chains and files, so as to implement effective access management and risk assessment for foreign-funded banks.

The cash in the consolidated financial statements does not need to be adjusted, which is a total of $1.1 billion.

Cash in the consolidated balance sheet was $1.1 billion.

The cash in the balance sheet of the parent company is 100 million.