Explain Profit Sharing

question 20

Essay

Explain profit sharing.

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Definitions:

Risk of Loss

Risk of loss refers to the legal and financial responsibility for damages, destruction, or loss of property, often determining who bears this risk during transactions or in the event of unforeseeable incidents.

Good Faith

Good faith refers to an honest intention to act without taking advantage of another person or to fulfill one's obligations or agreements.

Fair Dealing

A legal doctrine that permits limited use of copyrighted material without permission for purposes such as criticism, news reporting, teaching, and research.

Course of Performance

An interpretation principle in contract law considering the conduct between parties in the execution of their duties under the contract.