Which of the Following Is Not a Reason for a Parent

question 4

Multiple Choice

Which of the following is not a reason for a parent to lose control of a subsidiary?

• A) where the subsidiary issues additional shares to parties other than the parent
• B) where the subsidiary issues bonus shares on a pro-rata basis
• C) when the parent makes a decision to sell its controlling interest in the subsidiary to another party
• D) where the subsidiary issues additional shares to parties other than the parent.