A Company Investing in International Operations Is Known as the ________

question 81

Multiple Choice

A company investing in international operations is known as the ________.

• A)quasi company
• B)parent company
• C)subsidiary company
• D)holding company
• E)host company

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Definitions:

Franchise Agreement

A legal contract in which a franchisor grants the right to operate a business using its brand and system to a franchisee in return for a fee.

Initial Franchise Fee

An upfront cost that a franchisee pays to a franchisor for the rights to use the brand and operate under the franchise agreement.

Recorded as Revenue

The recognition of income when earned by the company, typically upon delivery of goods or completion of services.

Installment Sales Method

The installment sales method is an accounting technique used to recognize revenue and expenses for sales made on credit, wherein income is recognized as installment payments are received.