A new employee has been given responsibility for preparing the consolidated financial statements of Sample Company. After attempting to work alone for some time, the employee seeks assistance in gaining a better overall understanding of the way in which the consolidation process works. You have been asked to assist in explaining the consolidation process.

• How is the beginning-of-period non-controlling interest balance determined?
• How is the end-of-period non-controlling interest balance determined?
• Which of the subsidiary's account balances must always be eliminated?
• Which of the parent company's account balances must always be eliminated and why must they be eliminated?
• How might this process under a GAAP basis compare to that under an IFRS basis?
• Are there any ethical aspects that need to be addressed?