The consolidated net operating loss of the Parent Group includes all of the following except:
A)Parent's operating income/loss.
B)Parent's passive activity income/loss.
C)Parent's charitable contributions.
D)Subsidiary's operating income/loss.

Question

Quizplus · Accepted Answer

Charitable contributions made by the Parent Group are not factored into the consolidated net operating loss as they are not considered operational expenses. All other options (Parent's operating income/loss, Parent's passive activity income/loss, and Subsidiary's operating income/loss) are part of determining the consolidated net operating loss.

The Consolidated Net Operating Loss of the Parent Group Includes