Match the Following Terms to Their Correct Definition

question 25

Multiple Choice

Match the following terms to their correct definition:
-name given to the investee when an investor owns more than 50% of the investee's outstanding common shares

• A)equity security
• B)debt security
• C)passive
• D)significant influence
• E)control
• F)parent
• G)subsidiary
• H)goodwill
• I)business combination
• J)minority interest
• K)fair value method
• L)unrealized gains and losses
• M)equity method
• N)consolidation worksheet

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Definitions:

American Aid

Assistance provided by the United States to other countries, including financial support, material supplies, and humanitarian relief.

World Bank

An international financial institution that provides loans and grants to the governments of poorer countries for the purpose of pursuing capital projects.

International Monetary Fund

An international organization established to promote global financial stability, foster economic growth, and reduce poverty around the world.

Soviet Union

A former federation of communist republics that was established in 1922 and dissolved in 1991, officially known as the Union of Soviet Socialist Republics (USSR).