1. In which of the following cases would consolidation be inappropriate?

A. Subsidiary's operations are dissimilar from those of the parent.

B. The parent owns 90 percent of the subsidiary's common stock, but all of the subsidiary's nonvoting preferred stock is held by a single investor.

C. The parent owns 70 percent of the subsidiary's common stock, but half of the shares are nonvoting shares.

D. Subsidiary is foreign.