Ownership interests in a subsidiary entity that do not belong to the parent entity are known as:
A)Unowned interests.
B)Non-controlling interests.
C)Proprietary interests.
D)Pro rata ownership rights.

Question

Quizplus · Accepted Answer

Non-controlling interests, also known as minority interests, refer to ownership interests in a subsidiary entity that do not belong to the parent entity. These interests usually belong to other investors or shareholders outside the parent company. It is important to note that non-controlling interests have a claim on the subsidiary's net assets and earnings, but they do not have the power to control the subsidiary's operations or decisions.

Ownership Interests in a Subsidiary Entity That Do Not Belong