Which of the Following Statements About the Consolidation Process Is

Multiple Choice

Which of the following statements about the consolidation process is FALSE?

A) The consolidation process will involve replacing the investment account that is recorded in the books of the acquirer with the specific net assets acquired from the acquiree.
B) Consolidation is achieved by combining the financial statements of both the parent and its subsidiary.
C) The consolidated financial statements of a parent and its subsidiary include information about a subsidiary from the date the parent obtains physical possession of the subsidiary.
D) A subsidiary continues to be included in the parent's consolidated financial statements until the parent no longer controls that entity.