Why this is mistaken
A voting percentage can settle a simple supplied case, but it cannot replace model triage. Identify the entities, test scope, consider the VIE model, and review decision-making rights, economic exposure, related parties, kick-out rights, and agency. The correction states which model applies and which control conclusion was supplied or reviewed. Missing control facts stop the worksheet from becoming a release conclusion.
Where to watch
When this mistake may appear
- Ownership above 50 percent always means consolidate.
Check your work
Your work may contain this mistake if:
- Does not screen scope, VIE guidance, decision rights, economics, related parties, or substantive rights.