Question

9.
Minority of the subsidiary company is entitled to
(A) Capital profits
(B) Revenue profits
(C) Both capital and revenue profits
(D) None of the above​

Answer 1

Answer:

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Explanation:

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Answer 2

The correct answer is (b) Revenue Profits.

• In the corporate world, a subsidiary is a company that has a place with another company, which is typically alluded to as the parent company or the holding company.
• The parent holds a controlling interest in the subsidiary company, meaning it has or controls the greater part of its stock.
• Minority Subsidiary means any organization or restricted risk company of which the Company straightforwardly or in a roundabout way possesses offers or participation interests addressing somewhere around 20% however under 50% of the combined democratic force of the portions of all classes or series of capital stock or enrollment interests.
• Pre-obtaining benefit is the benefit procured by the company before it is being gained. It is treated as a capital benefit and not an income benefit and isn't accessible for dissemination of profit.