When a Company Applies the Partial Equity Method in Accounting

Multiple Choice

When a company applies the partial equity method in accounting for its investment in a subsidiary and the subsidiary's equipment has a fair value greater than its book value, what consolidation worksheet entry is made to convert to full-accrual totals in a year subsequent to the initial acquisition of the subsidiary?

A) A above.
B) B above.
C) C above.
D) D above.
E) E above.