Under ASPE Reporting Requirements for Investments in Subsidiaries, How Should

question 40

Multiple Choice

Under ASPE reporting requirements for investments in subsidiaries, how should the NCI at the time of acquisition be valued?

• A)At fair value
• B)At carrying value
• C)At the acquiree's proportionate share of net identifiable assets
• D)At fair value or at the acquiree's proportionate share of net identifiable assets

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Definitions:

Consumption

Individuals or households utilizing goods and services.

Interest Rate

The proportion of a loan that is charged as interest to the borrower, typically expressed as an annual percentage.

Present Value

The current worth of a future sum of money or stream of cash flows, taking into account a specific rate of return.

Endowment

An investment fund established by a foundation that makes consistent withdrawals for charitable activities or to fund its operations, typically sourced from donations.