WAEC Commerce 1993 Question 77

Question 77

Business Combinations

A company that acquires a majority of the shares of other companies with voting rights is regarded as

  1. A.a consortium
  2. B.a holding company
  3. C.an amalgamator
  4. D.a subsidiary company
  5. E.cartel
Show the answer and explanation

Answer: B (a holding company)

Explanation

A holding company controls other companies by owning most of their voting shares.