A Subsidiary Company Is a Company That

question 59

Multiple Choice

A subsidiary company is a company that:

• A)is controlled by another corporation.
• B)owns a controlling interest in another company.
• C)is the first to begin operations in an industry.
• D)that has a trading investment in another company.

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Definitions:

Accrued Vacation Pay

The amount of earned vacation time that an employee has not yet taken or been paid for, represented as a liability on the company's balance sheet.

Current Year

The present calendar or fiscal year in which a business is operating or reporting financial activities.

Vacation Cost

Expenses incurred by an individual or family during a vacation or by companies for employees' vacation benefits.

Quick Ratio

A liquidity metric that measures a company’s ability to meet its short-term obligations with its most liquid assets, excluding inventory.