The Investment in Subsidiary account of the parent is: Reported as part of non-current assets in the Consolidated Statements of Financial Position Reported as part of current assets in the separate Statements of Financial Position of the parent Reported as a contra-equity account of the parent Eliminated during consolidation

The Investment in Subsidiary account of the parent is: Reported as part of non-current assets in the Consolidated Statements of Financial Position Reported as part of current assets in the separate Statements of Financial Position of the parent Reported as a contra-equity account of the parent Eliminated during consolidation

Financial Accounting Intro Concepts Meth/Uses

14th Edition

ISBN:9781285595047

Author:Weil

Publisher:Weil

Chapter14: Intercorporate Investments In Common Stock

Section: Chapter Questions

Problem 8Q

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Concept explainers

Consolidation

Consolidation in general examination implies an asset oscillating between well-defined methods of trading status. Consolidation is commonly known as market indecisiveness, which completes when the asset's values move forward or backward the trading structure.

Question

The Investment in Subsidiary account of the parent is:

Reported as part of non-current assets in the Consolidated Statements of Financial Position

Reported as part of current assets in the separate Statements of Financial Position of the parent

Reported as a contra-equity account of the parent

Eliminated during consolidation

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