Full consolidation is a method in which 100% of each item of all subsidiary undertakings is incorporated into the consolidated financial statements of a group, even when the parent company does not own 100% of a subsidiary.
Proportional consolidation is a method used in group accounts for subsidiaries that are not fully owned, including a proportionate share of each category of a joint venture in revenues, expenditures, assets, and liabilities line by line. This method contrasts with the equity method and has been a topic of much debate.
