USGAAP and IFRS View Ownership of More Than 50% of an Investee

question 52

True/False

U.S.GAAP and IFRS view ownership of more than 50% of an investee as implying an ability to control the investee, unless evidence indicates to the contrary.

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Definitions:

External Locus of Control

The belief that one's outcomes in life are determined by external forces or chance rather than personal actions.

Internal Locus of Control

A psychological concept referring to individuals who believe that they have control over the events and outcomes in their lives, as opposed to external forces determining their fate.

Ethical Behavior

The practice of engaging in actions that are considered morally right and in accordance with societal standards.

Ethical Behavior

Conduct that is in alignment with accepted moral principles and values, demonstrating a commitment to fairness, integrity, and responsibility.