Mathandler1
Jul 27, 2007, 10:07 AM
Please help ASAP:
Which of the following is not an appropriate reason for leaving a subsidiary unconsolidated?
a. The subsidiary is in bankruptcy.
b. The subsidiary is to be sold in the near future.
c. A foreign government threatens to take over the assets of the subsidiary.
d. The subsidiary is in an industry that is significantly different than that of the parent.
e. The subsidiary is larger than the parent and therefore should be a standalone company.
I am not 100% sure but I picked (e) for my answer. Is there anyone out there that can confirm my answer is correct or not. Thanks
Which of the following is not an appropriate reason for leaving a subsidiary unconsolidated?
a. The subsidiary is in bankruptcy.
b. The subsidiary is to be sold in the near future.
c. A foreign government threatens to take over the assets of the subsidiary.
d. The subsidiary is in an industry that is significantly different than that of the parent.
e. The subsidiary is larger than the parent and therefore should be a standalone company.
I am not 100% sure but I picked (e) for my answer. Is there anyone out there that can confirm my answer is correct or not. Thanks