Both U.S.GAAP and IFRS often refer to ownership of a(n) _____ of the voting stock of another entity as indicating control, unless evidence indicates that the owner cannot exercise control.
A)direct investment
B)indirect investment
C)majority
D)minority
E)effective control

Question

Quizplus · Accepted Answer

Under both U.S. GAAP and IFRS, control is often indicated by ownership of a majority of the voting stock of another entity, unless there is evidence to suggest that the owner cannot exercise control. This is typically understood to mean more than 50% of the voting shares.

Both USGAAP and IFRS Often Refer to Ownership of A(n) _____