A Group of Entities Comprised of a Limited (Parent Entity),B

question 14

Multiple Choice

A group of entities comprised of A Limited (parent entity) ,B Limited (subsidiary entity) and C Limited (subsidiary entity) have the following Accounts receivable balances:
-A Limited $12 000
-B Limited $15 000
-C Limited $10 000
The consolidated financial statements show the following amount as the consolidated Accounts receivable balance:

• A)$12 000
• B)$13 000
• C)$25 000
• D)$37 000.

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Definitions:

Operating Costs

Expenses associated with the day-to-day functions of a business, excluding costs related to production.

Salvage Value

Salvage value is the estimated residual value of an asset at the end of its useful life.

Accumulated Depreciation

The total amount of depreciation expense that has been recorded against a fixed asset since its acquisition, reflecting its loss in value over time.

Special Price

A temporary discounted offer on a product or service intended to attract customers or accelerate sales.