The parent prepares the group's consolidated financial statements and may present its subsidiaries in its separate statements at cost, under TFRS 9 or using the equity method. The concept of a controlling company in the Turkish Commercial Code describes a similar relationship.
Source: TFRS 10, 6102 sayılı TTK m. 195
Related terms
SubsidiaryAn entity controlled by another entity (the parent).Control (TFRS 10)The situation where an investor has power over an investee, exposure to variable returns, and the ability to use its power to affect those returns.ConsolidationCombining the financial statements of a parent and the subsidiaries it controls as if they were a single economic entity.Accounting estimatesThe determination by management judgement of amounts that cannot be measured precisely, such as provisions, useful lives, expected credit losses and fair values.Accounting policiesThe specific principles, bases, conventions, rules and practices an entity applies in preparing its financial statements.Accrual basis of accountingThe principle of recording transactions as income, expenses, assets and liabilities in the period in which they occur, rather than when cash is received or paid.
Last updated: October 31, 2026 · This definition is for general information only.