This issue provides guidance on consolidated financial statements when an entity ceases to be a parent entity.

If an entity has been a parent entity during an annual reporting period, but is no longer a parent at the end of the reporting period (period-end), is it required to prepare consolidated financial statements?.

This Hot Topics will provide analysis of this practical issue, with references made to MFRS 10 Consolidated Financial Statements, MFRS 127 Separate Financial Statements and MFRS 128 Investments in Associates and Joint Ventures.