The entity that is represented by a single set of consolidated financial statements is the:
A) legal entity.
B) parent entity.
C) economic entity.
D) subsidiary entity.

Question

Quizplus · Accepted Answer

The economic entity is represented by a single set of consolidated financial statements, which brings together the financial information for all of the entities that are under common control. This can include subsidiaries, but it also includes any other entities that are controlled through ownership or other economic interests. The legal entity and parent entity may have separate financial statements, while the subsidiary entity is just one component of the larger economic entity.

The Entity That Is Represented by a Single Set of Consolidated