When a parent uses the partial equity method throughout the year to account for investment in a subsidiary, which of the following statements is false before making adjustments on the consolidated worksheet?
a) Parent company net income will equal controlling interest in consolidated net income when initial value, book value and fair value of the investment are equal
b) Parent company net income will exceed controlling interest in consolidated net income when fair value acquired exceeds book value
c) Parent company net income will be less than controlling interest in consolidated net income when fair value acquired exceeds book value
d) Goodwill will be recognized if acquisition value exceeds fair value
e) Subsidiary net assets are valued at their book values