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Business, 25.11.2020 21:20 natnat55

James Company acquired 85 percent of Mark-Right Company on April 1. On its December 31 consolidated income statement, how should James account for Mark-Right’s revenues and expenses that occurred before April 1?A. Include 100% of Mark-Right’s revenues and expenses and deduct the pre-acquisition portion as non-controlling interest in net income. B. Exclude 100% of the pre-acquisition revenues and 100% of the pre-acquisition expenses from their respective consolidated totals. C. Exclude 15% of the pre-acquisition revenues and 15% of the preacquisition expenses from consolidated expenses. D. Deduct 15% of the net combined revenues and expenses relating to the pre-acquisition period from consolidated net income.

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James Company acquired 85 percent of Mark-Right Company on April 1. On its December 31 consolidated...
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