EBK PEARSON ETEXT INTERNATIONAL BUSINES
EBK PEARSON ETEXT INTERNATIONAL BUSINES
9th Edition
ISBN: 9780136846871
Author: Wild
Publisher: VST
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Chapter 13.4, Problem 2QS4
Summary Introduction

To Determine:

Mention the facility that owns and controls a wholly owned subsidiary.

Introduction:

A wholly owned subsidiary is owned and controlled by the holding company.

Holding company is a company that owns 51% to 100% of voting stock in another company and which gives them the power to control the latter’s policy.

Subsidiary company is a company whose 51% to 100% of the voting stock is owned by the other company. Whereas, a wholly owned subsidiary is a company whose 100% voting stock is owned by another company.

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