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ASC Topic 805 Provides Standards for Reporting Business Combinations

Question 2

Multiple Choice

ASC Topic 805 provides standards for reporting business combinations. Which one of the following is most likely to be considered a business combination?


A) Formation of a joint venture by two or more existing companies.
B) Formation of a new subsidiary.
C) Purchase of a controlling interest in an international company.
D) Merger of an existing subsidiary with a parent.

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