AKUNTANSI PERUBAHAN HAK KEPEMILIKAN 1 - Pembelian Tambahan Saham PT Anak oleh PT Induk

Summary

In this video, Muhammad Hafid from Universitas Negeri Semarang discusses changes in ownership rights during acquisitions, a topic within advanced financial accounting. He explains how the control over subsidiaries can fluctuate due to factors like stock purchases or sales, both by the parent and the subsidiary company. The video delves into the effect of stock acquisitions on investment accounts and how these changes are accounted for in financial statements. Detailed examples and journal entries illustrate how the ownership percentage affects the reporting of income, dividends, and investment balances in a parent-subsidiary relationship.

Takeaways

• 😀 The video discusses the changes in ownership rights in an acquisition process, particularly in advanced accounting.
• 😀 The control of the acquiring company over the acquired company may change over time due to various activities, including purchases and sales of shares.
• 😀 Changes in the investment balance of shares in the subsidiary are not caused by equity method adjustments but by the buying and selling of shares.
• 😀 The acquisition can change the relative percentage of ownership, which in turn alters the investment balance account.
• 😀 There are four key factors affecting changes in ownership: additional share purchases by the parent company, share sales by the parent, the issuance of new shares by the subsidiary, and share buybacks by the subsidiary.
• 😀 When the parent company purchases shares from the stock exchange, the number of shares owned by the parent increases, changing the ownership percentage.
• 😀 If the parent sells shares of the subsidiary on the stock exchange, the ownership percentage decreases.
• 😀 If the subsidiary issues new shares, the parent's percentage ownership may decrease unless the parent buys a portion of the newly issued shares.
• 😀 The video provides examples to illustrate the effects of these transactions on ownership percentages, investment accounts, and control.
• 😀 The video also explains the accounting entries for these transactions, including how to eliminate the equity method transactions and adjust for dividends, earnings, and stock purchases.

Q & A

What is the main topic of the video?

The main topic of the video is about the changes in ownership rights during an acquisition, specifically how the controlling rights of a parent company over a subsidiary can change due to various acquisition activities.

What are the key factors that cause changes in the investment account balance of a subsidiary's shares?

The changes in the investment account balance can occur due to four factors: (1) The parent company buying additional shares, (2) The parent company selling shares, (3) The subsidiary issuing new shares, and (4) The subsidiary buying back shares.

How does the acquisition of additional shares by a parent company affect its ownership percentage?

When a parent company buys additional shares, its relative ownership percentage increases. For example, if the parent company initially owns 80% and buys more shares, it could increase its ownership to 90%, depending on the number of shares purchased.

What happens when the parent company sells shares of the subsidiary?

When the parent company sells shares of the subsidiary, its ownership percentage decreases. For example, if the parent company originally owns 80% and sells some shares, its ownership percentage might drop to 70%.

What is the effect of a subsidiary issuing new shares on the parent company’s ownership?

If a subsidiary issues new shares, the parent company’s relative ownership percentage decreases, even if the parent company does not sell any of its shares. For example, if a subsidiary issues 25,000 new shares, the parent's ownership might drop from 80% to 64%.

How does the buyback of shares by the subsidiary affect the parent company's ownership percentage?

When the subsidiary buys back shares, the number of shares in circulation decreases. This can result in an increase in the parent company's ownership percentage if it retains its shares while the total number of shares decreases.

How is the accounting treatment of dividends and profits from the subsidiary managed by the parent company?

When the subsidiary reports profit, the parent company recognizes its share of the profit in its investment account by debiting the investment account and crediting the profit account. Similarly, when dividends are declared by the subsidiary, the parent company records it by debiting the dividend receivable and crediting the investment account.

What does the journal entry look like when the parent company buys additional shares from the stock exchange?

The journal entry when the parent company buys additional shares from the stock exchange involves debiting the investment account for the purchase price of the shares and crediting cash for the payment amount.

How are eliminations handled in consolidated financial statements for intercompany transactions?

Eliminations in consolidated financial statements are used to remove intercompany transactions such as profits, dividends, and investments between the parent and subsidiary. This ensures that the financial statements reflect only transactions with external parties.

What are the differences between the elimination methods in the video?

The elimination methods discussed in the video involve eliminating intercompany profits and dividends, eliminating the investment account, and eliminating the stockholder equity accounts. The video introduces a method where eliminations are based on the start of the year rather than the end of the year, which differs from the more traditional approach of eliminating at year-end.