Associated companies

For relieving group losses we had to multiply 100% of Z plc’s shareholding in A and
Further multiplied it by 80% shareholding of A in B.
So this became one group structure because it was within 75%.
Whereas C couldn’t be within this group.
It could only be a subsidiary of B.

Do we have to do the same for finding out associated companies?

Because in one of the explanation related to a question it was written
“Associated companies are those companies that are under the control of Telephone Ltd (i.e. Telephone Ltd owns, either directly or indirectly, more than 50% of the company’s ordinary share capital)”

In Chapter 16, when we were doing associated companies, we did a structure of associated companies. In that
A
/ \
80% of B 70% of C
|
70% of D

But the associated companies were 4
Because the sub-subsidiary was 75% part of the Subsidiary company C. So indirectly there were included too.

But do we have to do 70%*70%?
Or we can just assume that it’s an associate too?

Thank you.