Where the Shareholder's Equity of a Subsidiary Is Negative

question 12

Multiple Choice

Where the shareholder's equity of a subsidiary is negative:

• A) the NCI will be included as part of the parent interests
• B) the NCI will be shown as a separate amount in the consolidated accounts
• C) NCI is ignored for consolidation purposes
• D) none of the above

---

Definitions:

Control Action

A process in which a control system responds to changes in measured variables by adjusting outputs to maintain desired conditions.

Distributive Control Systems

Distributive Control Systems are industrial automation systems where control functions are distributed throughout the system rather than centralized, enhancing flexibility and reliability.

Network Based

Pertaining to systems, processes, or applications that operate or communicate over a computer network.