A Stock Dividend by a Subsidiary Causes

question 48

Multiple Choice

A stock dividend by a subsidiary causes

• A)the parent company investment account to decrease.
• B)the parent company investment account to remain the same.
• C)the parent company investment account to increase.
• D)the noncontrolling interest equity to increase.

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Definitions:

Shop Right Doctrine

A legal principle that allows an employer to use an invention created by an employee during employment without compensation beyond their salary.

Doctrine of Equivalents

A principle in patent law that allows for the enforcement of a patent against a product or process that does not literally infringe upon the patented invention but performs substantially the same function in substantially the same way to achieve the same result.

Trade Secret

Information that is not known to the public, confers a competitive advantage, is subject to reasonable efforts to maintain its secrecy, and is valuable to its holder.

Reasonable Measures

Actions or steps that are considered sensible and proportionate to the situation, taken to achieve a specific purpose or to prevent certain outcomes.