Huey Limited and Dewey Limited are separate entities that jointly own Louie Limited. The consolidated financial statements of Huey Group would consist of financial statements of:
A) Huey Limited and Dewey Limited
B) Huey Limited and Louie Limited
C) Dewey Limited and Louie Limited
D) Huey Limited, Dewey Limited, and Louie Limited.

Question

Quizplus · Accepted Answer

In a joint venture, each entity consolidates its own financial statements with its share of the joint venture. Therefore, Huey Group would consolidate Huey Limited and its share of Louie Limited.

Huey Limited and Dewey Limited Are Separate Entities That Jointly