Parent and Sub Inc

question 8

Multiple Choice

Parent and Sub Inc. had the following balance sheets on December 31, 2012: On January 1, 2013 Parent purchased all of Sub Inc.'s Common Shares for $40,000 in cash. On that date, Sub's Current Assets and Fixed Assets were worth $26,000 and $54,000, respectively. Assuming that Consolidated Financial Statements were prepared on that date, answer the following: The Current Assets of the combined entity should be valued at:

• A) $70,000.
• B) $86,000.
• C) $114,000.
• D) $170,000 .

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Definitions:

Androcentric Biases

A bias or perspective that places male experiences and norms at the center, often marginalizing or disregarding women and other genders.

Womanism

A social theory and movement that centers on the experiences and perspectives of Black women, emphasizing inclusivity and equity across race and gender.

Devalued Qualities

Traits or characteristics that are not highly regarded, appreciated, or considered of significant worth in a certain context or by society.

Minority Communities

Groups of people who share common ethnic, racial, or cultural backgrounds and are represented in smaller numbers within a larger population or society.