According to GAAP, which of the following is true with respect to the pooling of interest method of accounting for business combinations?

Multiple Choice

• It was the only method used prior to 2002.
• It must be used for all new acquisitions.
• GAAP allowed its use prior to 2002.
• It, or the acquisition method, may be used at the acquirer's discretion.
• GAAP requires it to be used instead of the acquisition method for business combinations for which $50 billion or more in consideration is transferred.