The Use of Communication Roadblocks by a Parent Results in the Child

question 18

Multiple Choice

The use of communication roadblocks by a parent results in the child feeling as if the parent _____________ what is being said.

• A) has not heard
• B) is reviewing
• C) understands quite well
• D) is upset about

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Definitions:

Investment in Subsidiary

Refers to the holding of shares or interests by one company (the parent company) in another company (the subsidiary).

Goodwill

A non-material asset generated from purchasing another company at a cost exceeding the fair market value of its tangible net assets.

Paid-In-Capital Accounts

Accounts representing the funds contributed by shareholders over and above the nominal value of the shares; it's an equity item on the balance sheet.

Consolidating Journal Entry

A journal entry made in the process of combining the financial statements of several departments or subsidiaries into a single set of statements.