Under ASC 810, a variable interest entity (VIE) is consolidated if:
Under ASC 810, a variable interest entity (VIE) is consolidated if:
A. The entity has no equity investors
B. The company has a controlling financial interest
C. The entity is a subsidiary
D. The entity has debt obligations
Answer: B
Explanation: ASC 810-10-25-1: VIEs are consolidated if the company has a controlling financial interest (i.e., power + exposure to variable returns).

