_____ a Publicly Owned Company Has Only One Subsidiary

Multiple Choice

_____ A publicly owned company has only one subsidiary. Under regulatory rules, the subsidiary cannot pay dividends to the parent above a certain amount. Under the SEC's rules, this restriction must be disclosed

A) Regardless of materiality.
B) If the subsidiary's total assets are more than 25% of the total consolidated net assets.
C) If the subsidiary's restricted net assets exceed 25% of consolidated net assets.
D) If the subsidiary's net assets exceed 25% of consolidated net assets.
E) None of the above.