When one company purchases less than 50% of equity securities in a second company, which of the following statements is true?

a. The purchaser is referred to as the parent.
b. The purchaser is referred to as the subsidiary.
c. The company whose securities are purchased is the subsidiary.
d. The company whose securities are purchased is the investee.


d

Business

You might also like to view...

According to Hofstedeā€™s Model of National Culture, societies where inequalities are allowed to continue and grow are high in _________.

A. assertiveness B. power-distance C. individualism D. collectivism E. nurturing

Business

The Toxic Substances Control Act regulates

a. chemicals other than pesticides, foods, drugs, and cosmetics. b. insecticides. c. natural gas. d. pesticides.

Business

The Hershey brand tends to have its identity tied closely to one ___________________________

a. Co-Branding b. Brand Extension c. Product Category d. Penetration Strategy

Business

An exception to liability for copyrightinfringement is made under the "fair use" doctrine

Indicate whether the statement is true or false

Business