Assume That a Parent Company Has 4 Subsidiaries

Multiple Choice

Assume that a parent company has 4 subsidiaries.Under IFRS 3,which of the following statements is true?

A) All 4 subsidiaries must be reported using the parent-company extension method.
B) All 4 subsidiaries must be reported using the entity method.
C) Each subsidiary must be reported using either the parent-company extension method or the entity method.Consistency is not required.
D) All 4 subsidiaries must be reported using either the parent-company extension method or the entity method.Consistency is required.