Question: When consolidating a subsidiary that was acquired on a date OTHER THAN THE FIRST DAY OF THE FISCAL YEAR, which of the following statements is

When consolidating a subsidiary that was acquired on a date OTHER THAN THE FIRST DAY OF THE FISCAL YEAR, which of the following statements is correct in the presentation of consolidated financial statements?

A. Preacquisition earnings are excluded from the parent's consolidated statements.

B. Preacquisition earnings are shown as an addition to consolidated revenues and expenses

C. Preacquisition earnings are shown as a deduction from the beginning

D.Preacquisition earnings are shown as a deduction from consolidated revenues and expenses.

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