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Why are adjustments made to the calculation of the

Question -

1. Why are adjustments made to the calculation of the non-controlling interest for the effects of intercompany profit in upstream but not for downstream sales?

2. Choose a public company financial statement - 10k or annual report. Review the footnote disclosures related to intercompany activity. How important is this activity to the consolidated group? Where do you find this information? Be sure and post a link or attach the document to your posting.

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Accounting Basics: Why are adjustments made to the calculation of the

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