12. Which one of the following would be differenm, dependin pa lial equity methods of accounting for an investment are used by the paren a. The amount of con b. T c. Total liabilities on the consolidated balance sheet. d. The balance in the investment accurt on the parent's books. on whether the equity, initial value, otal assets on the consolidated balance sheet solidated net income. the 13. When is a goodwill impainnent loss recognized, under the "new FASB rules? a. Annually on a systematic and rational basis b. Never. the fair value of a reporting unit and its asociated implied goodwill fall below lue of a reporting unit falls below its carrying value. their respective carrying values one company buys another part-way through the year. Which of the following is ng how the revenues of the parent and subsidiary company are treated in the consolidated statements for the year a. Both parent and subsidiary revenues are included for the full year b. Both parent and subsidiary revenues are included ONL.Y for the period after the acquisition c. The subsidiary revenues are included only for the period after the acquisition datc, and the d. date parent's full year revenues are included None of the above On that date, Green had: 15. Purple Co. acquired 100% of Green, Inc. on January 1, Year. expected life forever 20 years 5 years Book value 42,000 Fair Value 52,000 Land Building 200,000 420.000 Equipment 350,000 20,000 What will be the net effect on consolidated expenses for the year ended December 31, Year 1 related to the acquisition allocations of Green? a. An increase in total expense of S21,000. b. A reduction in total expenses of $21,000 c. An increase in total expenses of s9,000 d. A reduction in total expenses of S9,000 6.-When a parent company buys a controlling interest, but not 100% ownership in