When One Entity Controls the Business Operations of Another Entity

question 2

Multiple Choice

When one entity controls the business operations of another entity, the business combination results in the following type of relationship:

• A) parent-subsidiary;
• B) partnership;
• C) a merger;
• D) dual-listed.

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Definitions:

Depreciation

The systematic allocation of the cost of a tangible asset over its useful life, reflecting the decrease in value over time.