What Is a Similarity Between a Branch Office and a Subsidiary

question 12

Multiple Choice

What is a similarity between a branch office and a subsidiary of a multinational corporation?

• A)Both are considered as separate legal entities.
• B)Both have limited liability shields with the parent company.
• C)Both can be setup in a foreign land to run the parent company's business.
• D)Both are wholly liable for their torts.

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Definitions:

Workers' Rights

A set of legal rights and claimed human rights having to do with labor relations between workers and their employers, usually obtained through collective bargaining and labor legislation.

Free Market Capitalism

An economic system where prices for goods and services are determined by the open market and consumers, with minimal governmental intervention.

Adam Smith

An 18th-century Scottish economist and philosopher known as the father of modern economics, best known for his theories on free markets and the invisible hand.

Morals

Principles or habits with respect to right or wrong conduct, often influenced by cultural, religious, or personal beliefs.