Variable interest in a variable interest entity

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An enterprise that holds a variable interest in a variable interest entity (vie) is required to consolidate the assets, liabilities, revenues, expenses, and noncontrolling interest of that entity if:

a) the VIE has issued no voting stock

b) the variable interest held by the enterprise involves a lease

c) the enterprise has a controlling financial interest in the VIE

d) other equity interests in the VIE have the obligation to absorb the expected losses of the VIE.

Reference no: EM13120766

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