Which of the following is not one of the criteria for a pooling of interests recording on the balance sheet?
A) none of the companies can be identified as an acquirer
B) the combination is effected in a single transaction
C) 95% of the acquired firm's shareholders must agree to the merger
D) one company can own no more than 55 percent of the new company

Question

Quizplus · Accepted Answer

The criteria for a pooling of interests recording on the balance sheet includes that none of the companies can be identified as an acquirer, the combination is effected in a single transaction, and one company can own no more than 50 percent of the new company. Agreement from 95% of the acquired firm's shareholders is not a requirement for a pooling of interests recording.

Which of the Following Is Not One of the Criteria