Consistent with the Entity Concept,full Consolidation Requires That

question 16

Multiple Choice

Consistent with the entity concept,full consolidation requires that:

• A) the parent ownership proportion of the subsidiary income, expenses, assets, liabilities and equity are included in the consolidated financial statements.
• B) the non-controlling ownership interests are included in the consolidated financial statements.
• C) the full amount of income, expenses, assets, liabilities and equity are included in the consolidated financial statements.
• D) none of the above.

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Definitions:

Gain Water

The process through which cells absorb water, which can happen in a hypotonic solution environment, leading to cell swelling or bursting in severe cases.

Cell

The smallest structural and functional unit of an organism, typically microscopic and consisting of cytoplasm and a nucleus enclosed in a membrane.

Turgor Pressure

The pressure of water pushing the plasma membrane against the cell wall of a plant or bacterium, providing rigidity to the cell.

Hypertonic

A solution that has a higher solute concentration than the cytoplasm of a cell, causing cell shrinkage.