In Order to Protect Information About Trade Secrets,an Entrepreneur Required

question 9

Multiple Choice

In order to protect information about trade secrets,an entrepreneur required all of the employees of the business to sign a contract that said they would not discuss these secrets with anyone outside of the business,and this requirement would continue for a certain period after they left the business. This type of contract is known as a

• A) patent.
• B) non-disclosure agreement.
• C) first mover advantage.
• D) tacit knowledge.
• E) None of the above.

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Definitions:

Voting Stock

Shares that give the holder the right to vote on company matters.

Book Value

The remaining value of a corporation's assets after subtracting its debts, as noted in the balance sheet.

Equity Method

An accounting technique used for recording investments in associate companies, where the investment is initially recorded at cost and adjusted thereafter for the post-acquisition change in the investor's share of the investee's net assets.

Equipment Account

An account on the balance sheet that represents the current value of the equipment owned by a company after adjusting for depreciation and amortization.