matching
based on the information given.
The following (a) seven account balances and (b) statements of retained earnings were obtained from the separate company statements of Parr Inc. and its 80%-owned created sub-sidiary, Subb Inc. (Parr's only subsidiary), at the end of 2006:

When Subb was created (in 2004, 20% of the common shares it issued were sold to private investors.
Requirement 1:
How is each of the first 11 preceding items reported in Parr's 2006 consolidated statements? Use the following list of possible answer codes in the answer columns:
-_____(item 2)
A) Report at the amount shown in Subb's separate statements.
B) Report at the amount shown in Parr's separate statements.
C) Report at less than the sum of the amounts shown in Parr's and Subb's separate statements.
D) Report at the sum of the amounts shown in Parr's and Subb's separate statements.
E) Do not report this item in the consolidated statements or in the separate statements of either Parr or Subb.
F) Do not report this item in the consolidated statements.
G) Create this item in the consolidation process.

_____ Which of the Following Methods Reports the NCI in the Subsidiary's

Multiple Choice

Correct Answer:Answered by ExamLex AIUnlock this answer nowGet Access to more Verified Answers free of chargeAccess For Free

Correct Answer:
Answered by ExamLex AI
Unlock this answer now
Get Access to more Verified Answers free of charge