A reporting company is evaluating for consolidation a Legal Entity in which the Reporting Company has a variable interest. The Reporting Company is currently attempting to determine if it qualifies for the business$-$related scope exception in FASB ASC $810("$Consolidations$").$ The reporting Company has determined that the Legal Entity is a "business" as that term is defined in FASB ASC $805("$Business Combinations"$).$ Unless otherwise indicated, each of the following parts of this question is independent.

A$.$ What incentive does the Reporting Company have to qualify, with respect to its variable interest in the Legal Entity, for the business$-$related scope exception in FASB ASC $810?$

B$.$ Assume that the chair of the board of directors of the Reporting Company worked with an investment bank to structure the Legal Entity. Does the Reporting Company qualify for the business$-$related scope exception? Why

C$.$ Does your answer to $($b$)$ change if the Legal Entity is a joint venture? Why?A reporting company is evaluating for consolidation a Legal Entity in which the Reporting Company has a variable interest. The Reporting Company is currently attempting to determine if it qualifies for the business$-$related scope exception in FASB ASC $810("$Consolidations$").$ The reporting Company has determined that the Legal Entity is a "business" as that term is defined in FASB ASC $805("$Business Combinations"$).$ Unless otherwise indicated, each of the following parts of this question is independent.

A$.$ What incentive does the Reporting Company have to qualify, with respect to its variable interest in the Legal Entity, for the business$-$related scope exception in FASB ASC $810?$

B$.$ Assume that the chair of the board of directors of the Reporting Company worked with an investment bank to structure the Legal Entity. Does the Reporting Company qualify for the business$-$related scope exception? Why

C$.$ Does your answer to $($b$)$ change if the Legal Entity is a joint venture? Why?