Which of the Following Is Not a Related Party Transaction

question 18

Multiple Choice

Which of the following is not a related party transaction?

• A) Acme Corporation leases office space to Norton Company. Mr. and Mrs. Norton own Norton Company and 65% of Acme Corporation's stock.
• B) BBD Inc. licenses a patent from Nugo Inc., which owns 82% of BBD's outstanding stock.
• C) Beth Teal pays $15,000 a year to her gardener, Ben. Beth is Ben's grandmother.
• D) All the transactions are between related parties.

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Definitions:

Organizational Behavior

The study of how people interact within groups, particularly in organizational settings, and how this affects productivity and work dynamics.

Effectiveness

The degree to which objectives are achieved and the extent to which targeted problems are solved in a timely and efficient manner.

Components

The individual parts or elements that make up a larger system or complex structure.

Ethics Competency

The ability to recognize, analyze, and act upon ethical issues and conflicts in a manner that aligns with moral and societal expectations.