An organization form that establishes bank subsidiaries rather than branches to expand is
A)an unit bank.
B)a multibank holding company.
C)a one-bank holding company.
D)a representative office.

Question

Quizplus · Accepted Answer

A multibank holding company is an organization form that establishes bank subsidiaries rather than branches to expand. This allows for separate operations and management of each subsidiary, while still being owned by the holding company. This can be a way for a bank to expand geographically or to offer different types of banking services without diluting their brand or risking the entire organization. An unit bank is a bank with one office and no branches, a one-bank holding company has only one subsidiary bank, and a representative office is a type of offsite branch with limited activities.

An Organization Form That Establishes Bank Subsidiaries Rather Than Branches