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A parent acquires all of the stock of a subsidiary for $72,000,000 in cash. The...

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Accounting

A parent acquires all of the stock of a subsidiary for $72,000,000 in cash. The fair value of the subsidiary's identifiable net assets is $75,600,000. On its own books, the parent: Select one: a. reports its investment at $72,000,000. b. reports a gain of $3,600,000 in other comprehensive income. c. reports a gain of $3,600,000 in income. d. reports its investment at $75,600,000 with a contra asset allowance of $3,600,000.
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A parent acquires all of the stock of a subsidiary for 572,000,000 in cash. The fair value of the subsidiarys identifable net assets is 575,600,000. On its own books, the parent. Seiest one: a. resorts its imvestment at $72000,000. b. reports a gain of 33600,000 in other comprehenvive income. creports a gain of $3,600,000 in income. d. reports its irwestment at $75,600,000 with a contra asset. allowance of $3,600,000

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