Recently, a seminar was held in Ho Chi Minh City to discuss the challenges and solutions for the preparation of consolidated financial statements.
The seminar, held by the American Chamber of Commerce (AmCham) in Vietnam, hoped to address the challenges, and solutions to those challenges, of effectively analysing and creating consolidated financial statements.
The seminar was aimed at advising corporations about the focus of financial management in business operations, as well as ensuring the transparency and reliability of financial information, which must be made public to shareholders.
David Anderson, Managing Director of Deloitte Vietnam said: "For corporations, especially multinational corporations with subsidiaries nationwide, consolidated financial statements are the most effective tool to help parent companies understand the entire resources of a corporation, presented primarily for the benefit of the shareholders, creditors, other resource providers of the parent and the effectiveness of a corporation's business operation. However, corporations need to understand and prepare to overcome obstacles due to the differences between subsidiaries and the parent company in preparation of the consolidated financial statements, particularly the differences in accounting methods, fiscal periods, and undefined accounting methods or standards that can result in a loss of information while consolidating financial statements."
The seminar aimed to advise attending corporations on not only the challenges that can occur, but also preventative steps a company can take to protect itself from those challenges. The seminar also provided solutions to help make the auditing process more effective. David Anderson outlined the responsibilities of auditors who analyse these consolidated financial statements as well.
