Adjustments required in a reverse acquisition only affect the consolidated financial statements.

Question

Quizplus · Accepted Answer

Adjustments made in a reverse acquisition affect the consolidated financial statements as they involve the combination of financial statements of the acquirer and the acquiree, resulting in a new reporting entity. These adjustments do not affect the financial statements of the individual entities before the combination.

Adjustments Required in a Reverse Acquisition Only Affect the Consolidated