A Parent Corporation Will Be Liable to Creditors of a Subsidiary

Multiple Choice

A parent corporation will be liable to creditors of a subsidiary corporation:

A) only if the parent corporation owns more than 50% of the shares in the subsidiary corporation
B) only if the parent corporation and the subsidiary corporation have exactly the same directors
C) only if the parent corporation owns 100% of the shares in the subsidiary corporation
D) only if the subsidiary corporation is a private (non- distributing) corporation
E) none of the above