Which of the Following Statements Is False Concerning Variable Interest

question 60

Multiple Choice

Which of the following statements is false concerning variable interest entities (VIEs) ?

• A) Sometimes VIEs do not have independent management.
• B) Most VIEs are established for valid business purposes.
• C) VIEs may be formed as a source of low-cost financing.
• D) VIEs have little need for voting stock.
• E) A VIE cannot take the legal form of a partnership or corporation.

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Definitions:

Relative Size

A principle of perception that allows the determination of an object's size based on its perceived distance.

Diaphragm

A dome-shaped, muscular partition separating the thorax from the abdomen in mammals, playing a major role in breathing.

External Intercostals

Muscles located between the ribs that assist with the mechanics of breathing by elevating the ribcage.