Asked by Andrea Anguiano on May 21, 2024
Verified
The company whose stock is more than 50% owned by another company is called the
A) controlling company
B) investee company
C) subsidiary company
D) sibling company
Subsidiary Company
The corporation that is controlled by a parent company.
Controlling Company
A business entity that holds a significant amount of voting stock in another company, giving it control over its operations and policies.
- Ascertain the correct accounting procedures based on the degree of ownership in another company's stock.
Verified Answer
DM
Dayli Marrero PolancoMay 25, 2024
Final Answer :
C
Explanation :
A company whose stock is more than 50% owned by another company is called a subsidiary company. This means that the owning company, known as the parent company, has control over the subsidiary's management and operations.
Learning Objectives
- Ascertain the correct accounting procedures based on the degree of ownership in another company's stock.
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