Which of the Following Statements Is True of Concentrated Ownership

question 20

Multiple Choice

Which of the following statements is true of concentrated ownership of media?

• A) There is substantial evidence that corporations that own media significantly influence reporting.
• B) The owners of media outlets air information that could be damaging to their advertisers if they earn profits.
• C) If only one or two companies own a city's newspaper and its TV stations, these outlets present a diversity of opinion.
• D) The owners of media outlets are unlikely to publicize views that they disagree with politically.
• E) Concentrated ownership may be a more serious problem at the national level than at the local level.

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Definitions:

Equity Method

An accounting technique used to record investments in which the investor has significant influence over the investee but does not control it.

Dividends

Money distributed by a corporation to its members, sharing a part of the company's income.

Investment Adjustment

The process of modifying the value of an investment portfolio due to changes in asset values, investment performance, or investment strategy.

Semiannual Interest

Interest that is computed and disbursed semi-annually, commonly found in agreements for bonds and loans.