For the week, the Dow is down 2.9 percent, while the S&P 500 is down 3.6 percent and the Nasdaq is off 3.7 percent.
When the carrying amount of the subsidiary’s net assets remains unchanged and no gain/loss arose from these transactions, these assets are recognised in the consolidated income statement.
The carrying amount of minority and majority interest is adjusted to reflect changes in a parent’s ownership of the subsidiary (e.g., increases in NCI, decreases in majority interest, and vice versa).
The Commerce Department said the GDP, the broadest measure of the economy's health, rose at a 2.7 percent annual pace rather than the 3 percent previously estimated.
The report follows a string of weaker-than-expected economic numbers in the past week and raised investors concerns about the recovery. The broader Standard & Poor's 500 index rose 3.07, or 0.3 percent, to 1,076.76, and the Nasdaq composite index rose 6.06, or 0.3 percent, to 2,223.48.
The 80% ownership is the majority interest (controlling interest) that is attributable to the parent company, while the remaining 20% is the minority interest—the equity in a subsidiary that is not attributable, directly or indirectly, to a parent.
Minority interest (non-controlling interest or NCI) is the proportion of equity or net assets in a subsidiary that is neither directly nor indirectly attribute to a parent . If company X buys 100% ownership of company A, company A then becomes the wholly-owned subsidiary of the parent company X.By contrast, when company X only acquires, for example, 80% equity ownership of company A, company A then becomes the partially-owned subsidiary of X.The indexes fluctuated for much of the day, in part because of the annual reshuffling of stocks in the Russell indexes.That forced investors to buy and sell certain stocks if they have portfolios that follow the indexes.While the parent has to consolidate its subsidiaries’ assets, liabilities, etc., into its financial statements, the asset/income attributable to minority interest should not be added to the group’s consolidated financial statements.