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Which of the Following Statements Applies to Reverse Acquisitions A) I and III;
B) I and IV;
C) II

question 17

Multiple Choice

Which of the following statements applies to reverse acquisitions?  I.  The accounting acquirer would  issue equity shares to the  accounting acquire.  III.  The legal subsidiary has the power to govern  the financial and aperating policies of the  combined entity.  II.  The legal acquirer is identified  as accounting acquiree. IV. Consolidated financial statements prepared  following a reverse acquisition are issued  under the name of the accounting acquirer. \begin{array} { | l | l | l | l | } \hline \text { I. } & \begin{array} { l } \text { The accounting acquirer would } \\\text { issue equity shares to the } \\\text { accounting acquire. }\end{array} & \text { III. } & \begin{array} { l } \text { The legal subsidiary has the power to govern } \\\text { the financial and aperating policies of the } \\\text { combined entity. }\end{array} \\\hline \text { II. } & \begin{array} { l } \text { The legal acquirer is identified } \\\text { as accounting acquiree. }\end{array} & \mathrm { IV } . & \begin{array} { l } \text { Consolidated financial statements prepared } \\\text { following a reverse acquisition are issued } \\\text { under the name of the accounting acquirer. }\end{array} \\\hline\end{array}

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