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Which of the Following Is Not True Regarding Consolidations Under

Question 107

Multiple Choice

Which of the following is not true regarding consolidations under IFRS?


A) A parent and a subsidiary are permitted to have different accounting policies.
B) While both IFRS and GAAP require a firm to consolidate entities it controls,IFRS defines control more broadly than does GAAP.
C) The noncontrolling interest is classified on the balance sheet in the stockholders' equity section shown separate from the equity of the parent.
D) On the income statement,noncontrolling interest is shown as a deduction from total entity (parent + 100% subsidiary) consolidated earnings.

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