Proportionate consolidation is a method of accounting and reporting whereby a venturer’s share of each of the assets, liabilities, income and expenses of a jointly controlled entity is combined line by line with similar items in the venturer’s financial statements or reported as separate line items in the venturer’s financial statements.
Proportionate consolidation is specifically discussed in IAS 31 Interests in Joint Ventures.
Source: Glossary of Terms of IFRSs as at 31 December 2008.
