There Are Several Theories for Allocating Constructive Gains or Losses

question 43

Multiple Choice

There are several theories for allocating constructive gains or losses between purchasing and issuing affiliates.The Agency Theory

• A)does so based on the par value of the bonds purchased.
• B)assigns the entire constructive gain or loss to the parent based on their control of the decision to purchase the bonds.
• C)assigns the entire constructive gain or loss to the subsidiary based on the need to have the noncontrolling interest share in the retirement of the debt.
• D)assigns the entire constructive gain or loss to whichever company issued the bonds.

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Definitions:

Mosses

A phylum of spore-producing nonvascular plants with an alternation of generations in which the dominant n gametophyte alternates with a 2n sporophyte that remains attached to the gametophyte.

Liverworts

Simple, non-vascular plants, similar to mosses, that proliferate in moist, shaded environments and are among the earliest terrestrial plants.

Sporangium

A structure in fungi and plants where spores are produced and stored.

Meiosis

A type of cell division that reduces the chromosome number by half, resulting in the production of haploid gametes or spores.