In consolidating a VIE, the VIEs assets and liabilities must be initially valued at their book values-not their fair values.

Name: In consolidating a VIE, the VIEs assets and liabilities must be initially valued at their book values-not their fair values.
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In consolidating a Variable Interest Entity (VIE), the VIE's assets and liabilities are initially measured at their fair values, not their book values, to reflect their current market conditions and provide a more accurate financial picture.

In Consolidating a VIE, the VIEs Assets and Liabilities Must