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U.S. GAAP specifies all of the following characteristics of variable interest entities except: A. Equity holders hold less than 5% of the entitys voting stock.

U.S. GAAP specifies all of the following characteristics of variable interest entities except: A. Equity holders hold less than 5% of the entitys voting stock. B. Equity holders do not have voting rights. C. Total equity investment at risk does not allow the entity to finance its activities without subordinated financial support of other entities. D. Equity holders do not have the right to receive the entitys expected residual returns.

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