What is the meaning of "significant influence"?
A)The power to participate in the financial and operating policy decisions of the investee.
B)The power to govern the financial and operating policies of an entity.
C)The power to share in strategic decisions affecting an entity.
D)The power to sell the shares of an entity.

Question

Quizplus · Accepted Answer

"Significant influence" refers to the power to participate in the financial and operating policy decisions of the investee. This means that the investor has the ability to influence and contribute to important decisions related to the investee's financial and operational activities, but does not hold a controlling interest in the investee.

What Is the Meaning of "Significant Influence