Entities Other Than the Primary Beneficiary Account for Their Investment

question 38

Multiple Choice

Entities other than the primary beneficiary account for their investment in a variable interest entity using the

• A)cost method.
• B)equity method.
• C)cost or equity methods.
• D)consolidated method.

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Definitions:

Conscience

The inner sense of what is right or wrong in one's conduct or motives, urging one toward right action.

Society

A group of individuals involved in persistent social interaction, or a large social group sharing the same geographical or social territory, typically subject to the same political authority and dominant cultural expectations.

Formal Rules

Officially sanctioned guidelines and procedures that govern behavior within organizations or societies.

House

Usually refers to the lower chamber of a bicameral legislature, such as the House of Representatives in the United States Congress.