Answer to Queston 12 page 161:
net income is not affected by the accounting method used to account for active investments in other companies… One-line consolidation and consolidation result in the same impact on net income.
Can anyone explain?
Are you reall studying or just browsing through? One-line consolidation is from using the equity method whereby minority earning are recorded in income statement. Consolidation is by acquisition method, consolidating the investee income statement with the parent income statement. Both result in same Net Income in the parent firm.
Net income will be same in any method
Equity will me more in acquistions due to addition of minority interest 
But, with equity method we are only taking proportionate net income and adding to P/L of investor; with consolidation, we are taking the entire amount of net income and adding to acquirer’s P/L.
Yes, but in consolidation you will subtract that non-controller’s share in the minority interest section. So all in all, it will give you the same bottomline
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Got it thanks. You deduct the “Non-controlling interest” below Income from Operations to get Net Income