Ajak Corporation Owns 85% of the Single Class of Utech

question 83

Multiple Choice

Ajak Corporation owns 85% of the single class of Utech Corporation stock. Utech Corporation owns 35% of Tech Corporation. Ajak Corporation also owns 50% of Tech Corporation, and Tech Corporation owns 75% of Baxter Corporation.

• A) Ajak, Tech, and Baxter Corporations are an affiliated group.
• B) Ajak, Tech, Utech, and Baxter Corporations are an affiliated group.
• C) Ajak, Tech, and Utech Corporations are an affiliated group.
• D) None of the above are correct.

---

Definitions:

Competitive Advantage

A unique attribute or capability that enables an organization to outperform its competitors.

Human Resources

A department within an organization that handles recruitment, management, and direction for the people who work in the organization.

Physical Resources

Tangible assets used by a company to operate and produce goods or services, including buildings, machinery, and equipment.

Differentiation Strategy

A business approach where a company seeks to distinguish its products or services from competitors through unique features.