_____ Which of the Following Is the Prescribed Manner of Reporting

Multiple Choice

_____ Which of the following is the prescribed manner of reporting for the earnings and losses of foreign subsidiaries?

A) The subsidiary must be consolidated unless control is lacking or control is expected to be temporary.
B) The subsidiary cannot be consolidated and the investment therein is to be reported under the equity method of accounting.
C) The subsidiary cannot be consolidated and the investment therein is to be reported under the cost method of accounting.
D) The parent has the option of consolidating the subsidiary or presenting supplemental disclosures in the notes to the financial statements.
E) None of the above.