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Merger - Stub period entry - best practice

edited Mar 21, 2019 8:04PM in General Ledger & Intercompany 1 comment

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Stub Period Also known as the interim period. This is the portion of the current fiscal year that has occurred or is reportable so far.
Stub period financial statements, commonly referred to as interim financial statements, are typically unaudited, but are often subject to a review by the company's auditors in accordance with applicable auditing standards.

 

My company merged with another company on 2/11/19 and the deal was closed on that day.  As a result, we need to book stub period and purchase accounting adjustment entries to arrive at our Opening Balances from the date of merger and onwards.  We need to make these adjusting entries in the GL for the current entities we have before the merger. After making these entries we need to be able to run the P&L and Balance Sheet from 2/11/19 through 12/31/19 (to reflect the merger) and we also need to run the P&L and Balance Sheet for the whole

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