Which of the Following Is an Argument That Supports the Charge

question 15

Multiple Choice

Which of the following is an argument that supports the charge that advertisers can and do control the media?

• A) Advertisers need the media more than the media needs any individual advertisers.
• B) The media are very dependent on advertising as the source of their income.
• C) Many media have a broad base of advertiser support and can afford to lose advertisers attempting to exert control over them.
• D) There is no such argument; it is in the best self-interest of the media not to be influenced or controlled by the advertiser.

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Definitions:

Acquisition

The method where one corporation acquires the majority or entirety of another corporation's shares to obtain dominance over that corporation.

Fair Value

A financial accounting term used to describe the estimated market value of an asset or liability based on current market conditions.

Noncontrolling Interest

A stake in a company owned by minority shareholders that doesn’t give them control over the company's operational and financial decisions.

Noncontrolling Interest

A minority share in a subsidiary that is not enough to exert control, often reflected in the parent company's financial statements as part of equity but separate from the parent's equity.