Multiple Choice
A Inc. purchased 100% of the voting shares of B Inc. on July 1, 2019. Which of the following statements is TRUE?
A) The 2019 Consolidated Income Statement will include only the income of A Inc. from January 1, 2019 to June 30, 2019 and income for both A Inc. and B Inc. from July 1, 2019 to December 31, 2019.
B) The 2019 Consolidated Income Statement will include income for both A Inc. and B Inc. for the entire year.
C) The 2018 Income Statement (i.e. the comparative year) , will retroactively include income for both A Inc. and B Inc.
D) The Consolidated Income Statement for 2019 will only include income from A Inc.
Correct Answer:
Verified
Correct Answer:
Verified
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