A Non-Controlling Interest Arises Only When a Parent Company Purchases

question 63

Multiple Choice

A non-controlling interest arises only when a parent company purchases:

• A) less than 20% of the stock of a subsidiary company
• B) between 20% and 50% of the stock of a subsidiary company
• C) more than 50% but less than 100% of the stock of a subsidiary company
• D) all of the stock of a subsidiary company

---

Definitions:

Binomial Proportion

A statistical measure that represents the proportion of successes in a series of independent trials in a binomial distribution.

Margin of Error

An expression of the amount of random sampling error in survey results, indicating the range within which the true population parameter is expected to fall.

Margin of Error

The margin of error is a statistic expressing the amount of random sampling error in a survey's results, indicating the range within which the true value lies with a certain level of confidence.

Critical Value

The threshold value(s) in a hypothesis test, beyond which the null hypothesis is rejected in favor of the alternative hypothesis.