At the Date of Acquisition, a Subsidiary Had Recorded a Dividend

question 20

Multiple Choice

At the date of acquisition, a subsidiary had recorded a dividend payable of $100 000. Assuming that the shares were acquired on a cum div. basis, the consolidation adjustment needed at the date of acquisition to eliminate the dividend is:

• A) I.
• B) II.
• C) III.
• D) IV.

---

Definitions:

Role Integration

The process of combining multiple societal roles in a harmonious way, allowing for a more balanced and effective functioning within one's social environment.

Artificialism

The belief, often observed in children, that environmental features were made by people or have an inherent purpose related to human intention.

Egocentrism

The inability to differentiate between one's own perspective and someone else's perspective.

Contact Comfort

A hypothesized primary drive to seek physical comfort through contact with another.