In applying push-down accounting, the subsidiary's Retained Earnings account is always brought to a zero balance.

Name: In applying push-down accounting, the subsidiary's Retained Earnings account is always brought to a zero balance.
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Push-down accounting involves adjusting the subsidiary's financial statements to reflect the new basis of accounting from the acquirer's perspective, which typically includes resetting the subsidiary's Retained Earnings to zero to reflect the new ownership.

In Applying Push-Down Accounting, the Subsidiary's Retained Earnings Account Is