Which of the following statements relating to parent companies and subsidiaries are correct?
1 A parent company could consolidate a company in which it holds less than 50% of the ordinary share capital in certain circumstances.
2 Goodwill on consolidation will appear as an item in the parent company's individual statement of financial position.
3 Consolidated financial statements ignore the legal form of the relationship between parents and subsidiaries and present the results and position of the group as if it was a single entity.