North Farm Society Is an Association of Farmers from Rural

question 78

Multiple Choice

North Farm Society is an association of farmers from rural communities.Its agenda is not to make profits but to help its members market their produce and purchase large quantities of fertilizer,seeds,and other supplies at discounted prices.Thus,North Farm Society is an example of a(n) _____.

• A)cooperative
• B)S corporation
• C)sole proprietorship
• D)limited liability company
• E)general partnership

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Definitions:

Transactions

Transactions refer to the exchange of goods, services, or funds between two or more parties, forming the basis of business activities and financial operations.

Investee

A company or entity in which an investor holds a significant interest, but not majority control.

Gross Profit

The financial metric obtained by deducting the cost of goods sold from revenue, indicating the efficiency of a company in managing its labor and supplies in the production process.

Intra-entity Sales

Transactions that occur between divisions or subsidiaries within the same parent company, affecting consolidated financial statements.