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Quantum Company Exchanges Some of Its Shares for Some of the Shares

Question 53

Multiple Choice

Quantum Company exchanges some of its shares for some of the shares of Rocket Corporation. The exchange is used to create Space Inc., whose business activity is to hold the shares of the two companies. Space Inc. is


A) a holding company.
B) a parent corporation.
C) a subsidiary corporation.
D) a foreign corporation.

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