The Shareholders of the Parent Entity in a Group Are

question 8

Multiple Choice

The shareholders of the parent entity in a group are entitled to:

• A) total profits of all group members.
• B) parent entity interest in consolidated group profit.
• C) non-controlling interest in consolidated group profit.
• D) none of the above.

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Definitions:

Gross Margin

Gross margin is the difference between revenue and the cost of goods sold, divided by revenue, expressed as a percentage. It measures how much a company earns taking into consideration the costs that it incurs for producing its products or services.

Variable Costing

An accounting method that includes only variable costs—costs that change with production levels—in the calculation of cost of goods sold and excludes fixed costs.

Net Operating Income

The total earnings from a company's operations after deducting operating expenses but before interest and taxes.

Net Operating Income

The profit a company makes after deducting operating expenses from gross profit, not including income and expenses from investments and interest.