Which of the Following Conditions Need NOT Be Met Before

question 52

Multiple Choice

Which of the following conditions need NOT be met before a parent company is not required to present consolidated financial statements for external reporting purposes?

• A) Its ultimate or any intermediate parent company produces financial statements available for public use and comply with IFRS.
• B) It does not have any debt or equity instruments traded in a public market.
• C) It has not filed, nor is in the process of filing, financial statements with a regulatory organization for the purposes of a public offering.
• D)It is a wholly-owned subsidiary of another entity and its other owner have not been informed about the parent not presenting consolidated financial statement.

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Definitions:

Consumer's Surplus

The gap between the total sum consumers are ready and able to spend on a good or service and what they actually spend.

Used Cars

Pre-owned vehicles that have been previously registered and used by one or more owners.

Constant Marginal Cost

A situation where the marginal cost of producing one additional unit of output is the same, regardless of the level of production.

Separate Markets

Markets for different goods or services that do not affect each other, often due to geographical, product differentiation, or segmentation reasons.