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Which of the following statements is true regarding a business combination when the acquired company dissolves? A. The acquiring company also dissolves. B. The acquired

Which of the following statements is true regarding a business combination when the acquired company dissolves?

A. The acquiring company also dissolves.

B. The acquired company is reported as an investment on the acquiring companys books.

C. Both companies remain in existence as legal corporations with one corporation now a subsidiary of the acquiring company.

D. The acquired companys assets and liabilities will be consolidated in the financial records of the acquiring company permanently at the acquisition date.

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