Which of the Following Is Closest to IFRS 3 Business

question 21

Multiple Choice

Which of the following is closest to IFRS 3 Business Combinations definition of control?

• A) A company is deemed to have control over another only when it owns a majority of the voting shares of another company.
• B) A company is deemed to have control when it can elect a majority of the Board members of another company.
• C) Control is the ability to direct the activities of a company that most significantly affect the investor's returns.
• D) Control exists only when a company has the continuing power to determine the operating and financing policies of another company and attempts to exercise such powers.

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Definitions:

Neoplastic Tissue

Tissue composed of cells that are undergoing uncontrolled growth, which can lead to tumors or cancers.

Epithelial Tissue

Sheets of tightly packed cells covering exterior surfaces of the body, lining internal cavities and organs, and forming glands.

Carcinomas

A type of cancer that begins in the skin or tissues that line or cover internal organs, characterized by the formation of cells that can invade neighboring tissues.

Epithelial Tissue

A type of tissue that forms the outer layer of the body's surfaces and lines internal organs and cavities.