The SEC Requires the Use of Push-Down Accounting in Some

question 8

Multiple Choice

The SEC requires the use of push-down accounting in some specific situations.Push-down accounting results in:

• A)​goodwill be recorded in the parent company separate accounts.
• B)​eliminating subsidiary retained earnings and paid-in capital in excess of par.
• C)​reflecting fair values on the subsidiary's separate accounts.
• D)​changing the consolidation worksheet procedure because no adjustment is necessary to eliminate the investment in subsidiary account.

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Definitions:

Existing Position

A job role that is currently filled or established within an organization.

Human Resources

The department within an organization that deals with the hiring, administration, and training of personnel.

Screening Job Candidates

The process of evaluating potential employees to determine their suitability for a particular position.

Recruitment Advertising

Utilizing different media platforms to post job openings aimed at attracting a wide range of candidates; a rephrased definition for Employment Advertising.