Which of the following statements are true relative to US GAAP and IFRS consolidation rules?
A)US GAAP allows for two consolidation models,the VIE model and the voting interest model.
B)US GAAP and IFRS both use the notion of control to determine whether consolidation is appropriate.
C)US GAAP and IFRS differ to some degree as to the definition of control.
D)All of the given statements are true relative to US GAAP and IFRS consolidation rules.

Question

Quizplus · Accepted Answer

All of the given statements are true. US GAAP allows for two consolidation models, the VIE model and the voting interest model. Both US GAAP and IFRS use the notion of control to determine whether consolidation is appropriate but differ to some degree as to the definition of control.

Which of the Following Statements Are True Relative to US