Question $20$

$3$ pts

If a parent loses control of a subsidiary and no longer holds an equity interest in its former subsidiary:

This would not alfect the income Statement because the parent should adjust retained earning in the current period for any gain or lows.

The parent thoudd recognite a GAIN or LOSS inmediately.

The parent should receguipe a GAN or LOSS inmediately exept when the parent is still a creditor of the former subnidiary.

The parent does not recopidae a GAIN or LOSS uniti the parent corporation makes a frod determination as to whether they may porchane more of the former subsidiaries stock in the future.