Which of the Following Is not Correct with Respect

question 103

Multiple Choice

Which of the following is not correct with respect to mergers under the rules established by FASB Statement No. 164, Not-for-Profit Entities: Mergers and Acquisitions?

• A) If the combination qualifies as a merger, it will be accounted for using the carryover method.
• B) Goodwill is recognized on long term assets only
• C) Assets and liabilities are transferred from both existing entities to the new entity at book value.
• D) The entity resulting from the merger is a new reporting entity, with no activity before the date of the merger.

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Definitions:

Meaningless

pertains to lacking significance, purpose, or value; something that does not convey any meaningful message or has no inherent importance.

Hypnosis Control

Hypnosis control refers to the extent to which a hypnotic state or suggestions during hypnosis can influence an individual's behavior, thoughts, or experience.

Involuntary Condition

A state or condition not under the individual's conscious control, often referring to reflex actions or physiological responses.

Physical Dependence

Condition occurring when a person’s body becomes unable to function normally without a particular drug.