Which consolidation method does not include incorporating 100% of a subsidiary's revenues and expenses?
A)Proportionate consolidation
B)Parent-company method
C)Parent-company extension method
D)Entity method

Question

Quizplus · Accepted Answer

Proportionate consolidation only includes a proportionate share of the subsidiary's revenues, expenses, and assets in the consolidated financial statements. The other methods listed (parent-company method, parent-company extension method, entity method) all involve incorporating 100% of the subsidiary's revenues and expenses.

Which Consolidation Method Does Not Include Incorporating 100% of a Subsidiary's