Elimination Procedures for Intercompany Bonds Purchased from Outside Parties by Another

Multiple Choice

Elimination procedures for intercompany bonds purchased from outside parties by another member of the consolidated group are:

A) not needed except in the period of acquisition if purchased at par.
B) not needed except in the period of acquisition if purchased at a premium or discount.
C) not needed except in the period of acquisition if only a portion of the outstanding bonds are purchased.
D) needed each period as long as there are intercompany bonds.