caseyleftwich caseyleftwich

23-05-2017
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Which of the following is an example of a holding company? a railroad company buys its competitors' companies leaders from different transport companies agree to charge the same prices a company owns stock in several different corporations a paper factory owns a lumber yard and paper mill

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Jejkakw Jejkakw

27-06-2017

The correct answer is C

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palebadgworthy palebadgworthy

14-12-2018

The correct answer is: " a company owns stock in several different corporations".

A holding is a type of corporation does not provide goods or services, but simply owns stock from other companies in order to constitute a corporate group. It is a manner of reducing risk for investors/owners.

The other definitions provided correspond to the following phenomena:

absortion and monopoly: a railroad company buys its competitors'
collusive oligopoly: companies leaders from different transport companies agree to charge the same prices
vertical integration: a paper factory owns a lumber yard and paper mill

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