_____ A parent generally will not consolidate a subsidiary that
A) Is in an unrelated line of business.
B) Is located in a foreign country.
C) Has a different year-end.
D) Is in bankruptcy proceedings.
E) None of the above.

Question

Quizplus · Accepted Answer

A parent generally will not consolidate a subsidiary that is in bankruptcy proceedings because the control over the subsidiary's operations and financial policies might be significantly limited or transferred to a bankruptcy court, making consolidation inappropriate or impractical.

_____ a Parent Generally Will Not Consolidate a Subsidiary That