When Consolidated Financial Statements Are Prepared,the Parent Company Uses the Equity

question 192

True/False

When consolidated financial statements are prepared,the parent company uses the equity method and reports the subsidiaries as investment accounts on the balance sheet.

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Definitions:

Classical Conditioning

The process by which a previously neutral stimulus becomes associated with a stimulus that already elicits a response and, in turn, acquires the capacity to elicit a similar or related response. Also called Pavlovian or respondent conditioning.

Behavior Therapy

A type of psychotherapy that focuses on changing undesirable behaviors through conditioning techniques.

Graduated Exposure

In behavior therapy, a method in which a person suffering from a phobia or panic attacks is gradually taken into the feared situation or exposed to a traumatic memory until the anxiety subsides.

Systematic Desensitization

A behavioral therapy technique used to help individuals overcome phobias and anxiety disorders through gradual exposure to the feared object or situation.