What is difference between consolidate balance sheet and balance sheet?

The major differences between consolidate balance sheet and balance sheet are as follows −

Consolidate balance sheet

• In case of subsidiaries companies, assets and liabilities are not mentioned separately.

• It is difficult to prepare.

• It reflects financial position of a firm and its subsidiary.

• Assets (parent + subsidiary) = liabilities (parent + subsidiary) + shareholders’ equity+ minority interest.

• It takes lot of time to prepare.

• It is prepared by only companies holding shares in another company.

Balance sheet

• In case of subsidiaries, assets and liabilities are mentioned separately.

• It is easy to prepare.

• It shows financial position of a firm to stakeholders.

• Assets = liabilities + shareholders’ equity.

• It takes less time to prepare.

• It is prepared by all companies.