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Where a company acquires controlling shares of another and the consideration is paid in cash,…

Where a company acquires controlling shares of another and the consideration is paid in cash, the entries in the books of the purchases are debit?`
  • A.
    investment and credit cash
  • B.
    investment and credit shares
  • C.
    purchases and credit cash
  • D.
    purchases and credit shares
Correct Answer: Option C
Explanation