Which of the Following Are Advantages of Netting

question 29

Multiple Choice

Which of the following are advantages of netting?
V.Avoiding transaction costs
VI.Shifting profits to different subsidiaries
VII.Avoiding taxes for the parent firm
VIII.Increasing flexibility in the parent firm

• A) I only
• B) II only
• C) I and IV
• D) II, III, and IV

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Definitions:

Freehold Estate

A type of ownership in real estate where the owner has complete control of the land and any buildings on it for an indefinite period.

Periodic Tenancy Agreement

A rental agreement that continues for successive periods (e.g., month-to-month or year-to-year) until terminated by the landlord or tenant.

Tenancy At Sufferance

A situation in which a tenant fails to leave after a lease has expired and owes compensation to the landlord.

Relief Against Forfeiture

Legal recourse that allows an individual or entity to recover the loss of property or rights due to failure to meet legal obligations, under certain conditions.