On September 1, Company Golden acquired for cash all of the outstanding common stock of Company Silver. Both companies have a December 31 year-end and have been in business for many years. Consolidated net income for the year ended December 31 should include net income of
A. Company Golden for 3 months and Company Silver for 4 months.
B. Company Golden for 12 months and Company Silver for 4 months.
C. Company Golden for 12 months and Company Silver for 12 months.
D. Company Golden for 12 months; but no income from Company Silver until Company Silver distributes a dividend.
Answer:B
This answer is correct. In an acquisition, the acquirer includes net income for the acquiree only from the date of acquisition (see ASC Topic 810). 母公司只需要將子公司合并日開(kāi)始產(chǎn)生的收入即可。