The Main Evidence of Control for Purposes of Consolidated Financial

question 15

Multiple Choice

The main evidence of control for purposes of consolidated financial statements involves:

• A) possessing majority ownership
• B) having decision-making ability that is not shared with others.
• C) being the sole shareholder
• D) having the parent company and the subsidiary participating in the same industry.

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Definitions:

Body Mass Index

A measure of body fat based on height and weight that applies to adult men and women, used to categorize underweight, normal weight, overweight, and obesity.

Amenorrhea

The absence of menstruation in someone of reproductive age under conditions expected for menstruation.

Parotid Swelling

Inflammation or enlargement of the parotid glands, the largest of the salivary glands, which can be due to infection, blockage, or other medical conditions.

Lanugo

Fine, soft hair that covers the body and limbs of a fetus or newborn, which is usually shed before or shortly after birth.