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Which of the Following Would Be a Valid Reason for the Parent

Question 1

Multiple Choice

Which of the following would be a valid reason for the parent company to convert a branch into a locally organized subsidiary?


A) to insulate the parent company from local liability
B) to remove the separate legal entity status of the branch
C) to bring it under even stricter supervision of the parent company
D) to decrease local participation in the branch

Correct Answer:

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