The Standards Relating to Consolidation Differ Under ASPE and IFRS

question 63

Multiple Choice

The standards relating to consolidation differ under ASPE and IFRS. Which of the following statements best describes the difference?

• A) IFRS requires consolidation whereas ASPE offers a choice of methods.
• B) ASPE requires consolidation whereas IFRS offers a choice of methods.
• C) Consolidation is specifically excluded as one of the choices under ASPE.
• D) Consolidation is specifically excluded as one of the choices under IFRS.

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Definitions:

Autonomy

The right or condition of self-government, or in personal decision-making, the capacity to make an informed, uncoerced decision.

Legal Issue

A matter or dispute that concerns law or legal principles and requires legal knowledge to resolve.

Societal Norms

Shared expectations and rules that guide behavior within a society.

Common Law

The traditional unwritten law of England, based on custom and usage, which began to develop over a thousand years before the founding of the United States. Today, almost all common law has been enacted into statutes with modern variations by all the states except Louisiana, which is still influenced by the Napoleonic Code. In some states, the principles of common law are so basic they are applied without reference to statute.