It is acceptable when writing an open-ended question to include an opinion or point of view, for example: "Many people believe that saving for retirement is important. What is your point of view?"

In selecting an appropriate forecasting model, the following approaches are suggested:

A) Measure the size of the forecasting error. B) Use the principle of parsimony. C) Perform a residual analysis. D) All of the above.

Peregrine Corporation acquired an 80% interest in Serine Corporation in 2011 at a time when Serine's book values and fair values were equal to one another

On January 1, 2014, Serine sold a truck with a $55,000 book value to Peregrine for $100,000. Peregrine is depreciating the truck over 10 years using the straight-line method. The truck has no salvage value. Separate incomes for Peregrine and Serine for 2014 were as follows: Peregrine Serine Sales $1,800,000 $1,050,000 Gain on sale of truck 45,000 Cost of Goods Sold (750,000) (285,000) Depreciation expense (450,000) (135,000) Other expenses (180,000) (450,000) Separate incomes $ 420,000 $ 225,000 Peregrine's investment income from Serine for 2014 was A) $108,000. B) $144,000. C) $147,600. D) $180,000.