A digest is an index to statutes

Giant Co. acquired Posey, Inc., in a 100% acquisition on January 1, Year 1. Posey continued to exist and operate as a separate entity. Depreciation expense on a consolidated basis for Year 1 will be:

a. Giant's depreciation expense based on Giant's fair values plus Posey's depreciation expense plus the depreciation expense on the fair value and book value difference at the date of acquisition. b. Giant's depreciation expense based on Giant's book values plus Posey's depreciation expense plus the depreciation expense on the fair value and book value difference at the date of acquisition. c. Giant's depreciation expense based on Giant's book values plus Posey's depreciation expense. d. Giant's depreciation expense based on Giant's fair values plus Posey's depreciation expense

The operating and financing activities of the statement of cash flows are presented differently between the indirect and direct methods

Indicate whether the statement is true or false