1. If the parent company owns 90% of the subsidiary company's outstanding common stock, the company should generally account for the income of the subsidiary under the

a. cost method.

b. fair value method.

c. divesture method.

d. equity method

2. An investor with 50% interest with no significant influence will account for his portfolio using

a. Record share of profit as income

b. Record share of dividend as income

c. Record share of profit and dividend as expenses

d. Record share of profit and dividend as revenue

3. An investor with 55% interest with no significant influence will account for his portfolio using

a. Record share of profit as income

b. Record share of dividend as income

c. Record share of profit and dividend as expenses

d. Record share of profit and dividend as revenue

4. An investor with 19% interest with significant influence will account for his portfolio using

a. Fair Value Method

b. Equity Method

c. Acquisition Method

d. Consolidated Method

5. An investor with 49% interest with significant influence will account for his portfolio using

a. Fair Value Method

b. Equity Method

c. Acquisition Method

d. Consolidated Method

6. An investor with 19% interest with significant influence will account for his portfolio using

a. Fair Value Method

b. Equity Method

c. Acquisition Method

d. Consolidated Method .

7. An investor with 50% interest with no significant influence will account for his portfolio using

a. Fair Value Method

b. Equity Method

c. Acquisition Method

d. Consolidated Method