2.21 Parent-Only Attribution Method

The parent-only attribution method is an attribution model specific to upstream transactions under which the income deferral arising from the eliminating entry (pending the ultimate sale of the goods to third parties) is attributed to the parent. When this method is used, 100 percent of the deferred income (loss) reduces (increases) net income attributable to the parent (see Section 6.4.2). Refer to Example 6-8 for an illustration of accounting for upstream transactions in circumstances involving noncontrolling interests.