Which of the following statements applies to reverse acquisitions?

Tin accou acquirer is identified as accounting acquiree.ontrolling entity;
Other assets (in the case where equity instruments
A) I and III;
B) I and IV;
C) II and III;
D) II and IV.

Question

Which of the following statements applies to reverse acquisitions?

Tin accou acquirer is identified as accounting acquiree.ontrolling entity;
Other assets (in the case where equity instruments
A) I and III; 
B) I and IV; 
C) II and III; 
D) II and IV.

Quizplus · Accepted Answer

- Statement II applies to reverse acquisitions, as they involve the acquisition of the controlling entity by the accounting acquiree.
- Statement III also applies, as there may be other assets besides equity instruments acquired in the transaction.
Statement I is incorrect, as in a reverse acquisition, the accounting acquiree is identified as the acquirer. Statement IV is incorrect, as a reverse acquisition does not necessarily involve the issuance of equity instruments as consideration.

Which of the Following Statements Applies to Reverse Acquisitions