With Consolidation, Control Generally Occurs When the Investor Owns What

question 59

Multiple Choice

With consolidation, control generally occurs when the investor owns what percentage of the voting stock of the investee?

• A)over 50%
• B)between 20% and 50%
• C)less than 20%
• D)over 40%

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Definitions:

Act of God

An unforeseeable natural event, such as an earthquake, flood, or tornado, that cannot be prevented and is excluded from legal liability.

Libel

Defamation in some permanent form, such as in writing, a cartoon, etc.

Defence to Negligence

Legal reasons provided by a defendant in a lawsuit to prove they were not negligent or to mitigate their level of responsibility for an incident.

Waiver

The deliberate act of relinquishing a right, claim, or privilege.