The Following Data Pertains to Questions

question 52

Multiple Choice

The following data pertains to questions
Parent and Sub Inc had the following balance sheets on July 31,2007: The Net Incomes for Parent and Sub Inc for the year ended July 31,2007 were $120,000 and $60,000 respectively.
-Assuming Parent purchased 80% of Sub Inc.for $180,000;the Assets section of Parent's Consolidated Balance Sheet on the date of acquisition would total what amount under current GAAP?

• A)$637,600
• B)$639,200
• C)$637,200
• D)$571,000

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Definitions:

Alcoholism

A pattern of behavior in which a person repeatedly abuses or depends on alcohol. Also known as alcohol use disorder.

Suicidal Ideation

The consideration or contemplation of ending one's own life, which can range from fleeting thoughts to detailed planning.

Alcohol Abuse

Excessive drinking leading to health problems and negative social, emotional, or legal consequences.

Substance Abuse

The harmful or hazardous use of psychoactive substances, including alcohol and illicit drugs.