State the requirement that the joint ventures be consolidated or not.

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Answer 1

Question

Chapter 2, Problem 1Q

To determine

State the requirement that the joint ventures be consolidated or not.

Expert Solution & Answer

Explanation of Solution

An acquisition is when one company acquires most or all of the shares of another company to gain control over that company. A Joint Venture is a business agreement where members agree to volunteer their time to accomplish a particular task. Consolidation means combining two or more entities assets, liabilities, and other financial items into one frame. The concept consolidate in financial accounting often pertains to the consolidation of financial statements in which all subsidiaries report under the framework of a parent company. FASB ASC 805-10-15 Scope section explicitly prohibits joint ventures from the standard's provisions. Joint ventures therefore need not be consolidated and should be taken into account for using the equity method.

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Answer 2

Question

Chapter 2, Problem 1Q

To determine

State the requirement that the joint ventures be consolidated or not.

Expert Solution & Answer

Explanation of Solution

An acquisition is when one company acquires most or all of the shares of another company to gain control over that company. A Joint Venture is a business agreement where members agree to volunteer their time to accomplish a particular task. Consolidation means combining two or more entities assets, liabilities, and other financial items into one frame. The concept consolidate in financial accounting often pertains to the consolidation of financial statements in which all subsidiaries report under the framework of a parent company. FASB ASC 805-10-15 Scope section explicitly prohibits joint ventures from the standard's provisions. Joint ventures therefore need not be consolidated and should be taken into account for using the equity method.

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Answer 3

Question

Chapter 2, Problem 1Q

To determine

State the requirement that the joint ventures be consolidated or not.

Expert Solution & Answer

Explanation of Solution

An acquisition is when one company acquires most or all of the shares of another company to gain control over that company. A Joint Venture is a business agreement where members agree to volunteer their time to accomplish a particular task. Consolidation means combining two or more entities assets, liabilities, and other financial items into one frame. The concept consolidate in financial accounting often pertains to the consolidation of financial statements in which all subsidiaries report under the framework of a parent company. FASB ASC 805-10-15 Scope section explicitly prohibits joint ventures from the standard's provisions. Joint ventures therefore need not be consolidated and should be taken into account for using the equity method.

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Answer 4

Question

Chapter 2, Problem 1Q

To determine

State the requirement that the joint ventures be consolidated or not.

Expert Solution & Answer

Explanation of Solution

An acquisition is when one company acquires most or all of the shares of another company to gain control over that company. A Joint Venture is a business agreement where members agree to volunteer their time to accomplish a particular task. Consolidation means combining two or more entities assets, liabilities, and other financial items into one frame. The concept consolidate in financial accounting often pertains to the consolidation of financial statements in which all subsidiaries report under the framework of a parent company. FASB ASC 805-10-15 Scope section explicitly prohibits joint ventures from the standard's provisions. Joint ventures therefore need not be consolidated and should be taken into account for using the equity method.

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Answer 5

Chapter 2, Problem 1Q

To determine

State the requirement that the joint ventures be consolidated or not.

Expert Solution & Answer

Explanation of Solution

An acquisition is when one company acquires most or all of the shares of another company to gain control over that company. A Joint Venture is a business agreement where members agree to volunteer their time to accomplish a particular task. Consolidation means combining two or more entities assets, liabilities, and other financial items into one frame. The concept consolidate in financial accounting often pertains to the consolidation of financial statements in which all subsidiaries report under the framework of a parent company. FASB ASC 805-10-15 Scope section explicitly prohibits joint ventures from the standard's provisions. Joint ventures therefore need not be consolidated and should be taken into account for using the equity method.

Answer 6

Chapter 2, Problem 1Q

To determine

State the requirement that the joint ventures be consolidated or not.

Expert Solution & Answer

Explanation of Solution

An acquisition is when one company acquires most or all of the shares of another company to gain control over that company. A Joint Venture is a business agreement where members agree to volunteer their time to accomplish a particular task. Consolidation means combining two or more entities assets, liabilities, and other financial items into one frame. The concept consolidate in financial accounting often pertains to the consolidation of financial statements in which all subsidiaries report under the framework of a parent company. FASB ASC 805-10-15 Scope section explicitly prohibits joint ventures from the standard's provisions. Joint ventures therefore need not be consolidated and should be taken into account for using the equity method.

Answer 7

Chapter 2, Problem 1Q

To determine

State the requirement that the joint ventures be consolidated or not.

Answer 8

Expert Solution & Answer

Explanation of Solution

An acquisition is when one company acquires most or all of the shares of another company to gain control over that company. A Joint Venture is a business agreement where members agree to volunteer their time to accomplish a particular task. Consolidation means combining two or more entities assets, liabilities, and other financial items into one frame. The concept consolidate in financial accounting often pertains to the consolidation of financial statements in which all subsidiaries report under the framework of a parent company. FASB ASC 805-10-15 Scope section explicitly prohibits joint ventures from the standard's provisions. Joint ventures therefore need not be consolidated and should be taken into account for using the equity method.