S1: A subsidiary is not excluded from consolidation simply because the investor is a venture capital organization, mutual fund, unit trust or similar entity. S2: Influence is the power to govern the financial and operating polices of an entity so as to obtain benefits from its activities. A. Only S2 is correct B. Both statements are correct C. Both statements are incorrect D. Only S1 is correct

FINANCIAL ACCOUNTING
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ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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S1: A subsidiary is not excluded from consolidation simply because the investor is
a venture capital organization, mutual fund, unit trust or similar entity. S2:
Influence is the power to govern the financial and operating polices of an entity
so as to obtain benefits from its activities.

A. Only S2 is correct
B. Both statements are correct
C. Both statements are incorrect
D. Only S1 is correct

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