Consolidated Net Income May Include the Parent's Separate Operating Income

Multiple Choice

Consolidated net income may include the parent's separate operating income plus the parent's share of the subsidiary's reported net income:

A) plus the unrealized profit on upstream intercompany sales of inventory made during the current year.
B) plus the profit realized this year from upstream intercompany sales of inventory made last year.
C) plus unrealized profit on downstream intercompany sales of inventory made during the current year.
D) minus the parent's share of profit realized this year from upstream intercompany sales of inventory made last year.