When deciding whether or not one entity controls another entity: a. the controlling entity must have exercised its power to control. b. it is sufficient that the controlling entity has the capacity to control. c. the controlling entity must be actively involved in the decision making of the other entity. d. the controlling entity must have exerted its control over the financing policies of the other entity. The substitution elimination entry is necessary to: a. record the 'Investment in subsidiary' account in the parent's records. b. avoid understating the equity and net assets of the group. C. avoid overstating the equity and net assets of the group. d. avoid overstating the equity and net assets of the parent