NACVA Exam CVA Topic 2 Question 95 Discussion

Actual exam question for NACVA's CVA exam

Question #: 95
Topic #: 2

[All CVA Questions]

1. Dividends or partnership withdrawals (i.e. current economic income). 2. Proceeds from the ultimate sale of the ownership interest or liquidation of the subject business (i.e., including any long-term appreciation in the value of the security interest itself). These two are the categories of:

AThe economic benefits that the non-controlling ownership interest holder may realize.

BThe financial benefits that the non-controlling ownership interest holder may realize.

CThe economic benefits that the controlling ownership interest holder may realize.

DThe financial benefits that the controlling stakeholder may realize.

Show Suggested Answer

Suggested Answer: D

by Miesha at Sep 13, 2024, 02:21 AM

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Elmira

3 months ago

Controlling stakeholders may want to keep all the juicy financial benefits for themselves, but that's not what this question is asking about. The correct answer is A.

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Hillary

2 months ago

Exactly, the question is focusing on what they may realize in terms of economic benefits.

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Nickolas

2 months ago

That makes sense, it's about the benefits for the non-controlling ownership interest holder.

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Louann

3 months ago

A) The economic benefits that the non-controlling ownership interest holder may realize.

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Susy

3 months ago

I'm pretty sure the answer is A. The question is asking about the non-controlling ownership interest holder, and the two categories listed are the ways they can benefit economically.

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Rima

3 months ago

So, non-controlling owners can benefit financially as well, right?

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Marnie

3 months ago

Yes, that's correct. Dividends or partnership withdrawals and proceeds from the ultimate sale are economic benefits for non-controlling owners.

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Dustin

3 months ago

A) The economic benefits that the non-controlling ownership interest holder may realize.

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Maybelle

4 months ago

Haha, if I was the controlling stakeholder, I'd want to keep all the financial benefits to myself! But in all seriousness, A is the right answer here.

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Rosio

2 months ago

Felicitas: Absolutely, knowing the distinctions can help in making informed decisions.

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Willow

3 months ago

User 3: It's important to understand the different categories of benefits in ownership interests.

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Felicitas

3 months ago

User 2: Definitely, the non-controlling ownership interest holder may realize economic benefits.

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Rickie

4 months ago

User 1: I agree, A is the correct answer.

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Michal

4 months ago

I agree with Vivan. The question is clearly asking about the benefits for the non-controlling ownership interest holder, and A seems to be the most accurate description of those benefits.

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Jeniffer

3 months ago

User 2: I agree, A) seems to be the most accurate description of the benefits for the non-controlling ownership interest holder.

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Jesusita

4 months ago

User 1: I think the answer is A) The economic benefits that the non-controlling ownership interest holder may realize.

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Vivan

4 months ago

Hmm, this question is quite straightforward. I think the correct answer is A, as the two categories mentioned are the economic benefits that the non-controlling ownership interest holder may realize.

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