INDIRECT SHAREHOLDING Definition

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INDIRECT SHAREHOLDING is when one entity directly holds shares of another entity that owns shares of a third but different entity, for example, Shareholder A would have an indirect shareholding of Company C if Shareholder A directly owns shares of Company B while Company B owns shares of Company C.

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INCORPORATED is a legal entity that has undergone incorporation through approval by a state government.

PURCHASE RETURNS is a contra purchase account that records all credits from returned inventory purchases.

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