The Holding of 20% or More of the Voting Power

question 13

Multiple Choice

The holding of 20% or more of the voting power in an investee entity by an investor is a presumptive test that the investee is an associate of the investor.The application of this presumptive test means that:

• A) where an investor acquires a 20% equity stakeholding in an investee, the investee is an associate of the investor.
• B) where an investor acquires a 20% equity stakeholding in an investee, in the absence of evidence to the contrary, the investor has significant influence over the investee.
• C) an investor must have an equity stakeholding in an investee of at least 20% before the investee can be treated as an associate of the investor.
• D) none of the above.

---

Definitions:

Csikszentmihalyi

A psychologist known for developing the concept of Flow, a state of heightened focus and immersion in activities.

Flow

A psychological state characterized by complete immersion and focused concentration in an activity, leading to enhanced enjoyment and performance.

Floor Exercises

A category of physical activities performed on the floor without specialized equipment, often focusing on strength, flexibility, and aerobic conditioning.

Challenging Stunts

Difficult or daring physical activities that require skill and bravery, often performed for entertainment purposes.