Which of the Following Is Not a Reason for a Consolidated

Multiple Choice

Which of the following is not a reason for a consolidated group to file separate income tax returns?

A) There are no intra-entity transfers.
B) There are no deferred intra-entity gross profits in ending inventory.
C) One of the companies is a foreign company.
D) Parent owns 68 percent of one company and 82 percent of another.
E) No temporary differences will exist with separate income tax returns.