The Smith Family Has a 45% Stake in a Company

question 5

Multiple Choice

The Smith family has a 45% stake in A company and A company has a 75% stake in B company.Finally,B company has a 35% stake in C company.What percentage ownership does the Smith family have in C company?

• A)21%
• B)12%
• C)34%
• D)26%
• E)16%

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Definitions:

Cyclical Unemployment

A type of unemployment that relates to the cyclical trends in the economy, fluctuating with the business cycle's contraction and expansion phases.

Automobile Industry

A sector of the economy focused on the manufacturing, design, marketing, and selling of motor vehicles.

Unemployment Rate

The share of the labor market that is unemployed and searching for a job actively.

Structural Unemployment

Joblessness caused by the restructuring of industries, often as a result of advancements in technology, rather than variations in market supply or demand.