Van Starts Wind Systems to Make and Sell Turbines

question 20

Multiple Choice

Van starts Wind Systems to make and sell turbines. Later, Van contracts with Xi to invest additional capital in the firm in exchange for 25 percent of the profits. Vaughn and Xi are not partners in Wind Systems because

• A) they do not share the profits equally.
• B) their agreement does not provide for the sharing of losses.
• C) Van started the firm before Xi agreed to invest additional capital.
• D) they do not have joint control over the business.

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Definitions:

Adaptive Flexibility

The capacity of an organism to adjust its behaviour and physiology in response to changing environmental conditions.

Fitness

A state of health and well-being that is achieved through a combination of physical exercise, proper nutrition, and sufficient rest.

Reproduce

The biological process by which new organisms are generated from parent organisms.

Reproductive Potential

The possible reproductive capacity or output of an organism or population, often considering factors like age and health.