Private Groups That Raise and Distribute Funds for Election Campaigns

question 53

Multiple Choice

Private groups that raise and distribute funds for election campaigns are called

• A)corporations.
• B)political parties.
• C)political action committees.
• D)political consulting firms.

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Definitions:

Controlled Company

A company in which a majority of its stock is owned or its operations are controlled by another entity.

Investee Company

A company in which another company (the investor) holds a significant stake but does not have controlling interest.

Parent Company

An entity that owns enough voting stock in another corporation to control its management and operations.

Subsidiary Company

A company controlled by another company, referred to as the parent company, through ownership of more than 50% of its voting stock.