Consolidated Financial Statements

Question 1

Consolidate financial statements when control is over _____

Answer 1

50%

Question 2

Acquirer recognizes all of the subsidiary’s assets and liabilities, including identifiable intangible assets

Answer 2

recognition principle

Question 3

Acquirer measures each recognized asset and liability and any noncontrolling interest at its acquisition date FV

Answer 3

measurement principle

Question 4

The acquirer consolidates the sub at _____ FV at acquisition date

Answer 4

100%