Question #11

Reading: Reading 8 Intercorporate Investments

PDF File: Reading 8 Intercorporate Investments.pdf

Page: 5

Status: Correct

Correct Answer: A

Question
Under which of the following is a minority interest account most likely to appear on the consolidated balance sheet? I. The acquisition method. II. Equity method.
Answer Choices:
A. II only
B. Both I and II
Explanation
Minority interest is included in the parent's company's equity under consolidation method only.
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