Which of the following is NOT a valid reason for a firm to establish s

Which of the following is NOT a valid reason for a firm to establish subsidiaries?

a. to better control risk exposure of either parent-to- subsidiary or subsidiary-to-parent.
b. to enhance the company’s ability to evaluate individual performance and to create different compensation systems for a diverse set of its businesses.
c. to obfuscate financial reporting.
d. to conform with regulatory requirements specific to a particular business environment.

ANSWER

C