A 'dependent branch' is one which:
AMaintains its own complete set of books and prepares its own P&L
BIs a subsidiary company
COperates abroad
DDoes NOT maintain a complete set of books — Head Office maintains the records
Answer & Solution
Correct answer: D. Does NOT maintain a complete set of books — Head Office maintains the records
1. Step 1: Per Ch 15, dependent branches don't maintain a complete set of books; HO does the accounting.
2. Step 2: An independent branch keeps full books and prepares its own financial statements.
3. Step 3: Hence (B).
_Source: ICAI BoS CA Inter Paper 1, Ch 15 "Accounting for Branches including Foreign Branches"_