Ruth Darma Is a Shareholder Who Is Not Involved in the Day-To-Day

question 8

True/False

Ruth Darma is a shareholder who is not involved in the day-to-day activities of an S corporation. Her interest in the business is a passive activity.

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Definitions:

CITES

The Convention on International Trade in Endangered Species of Wild Fauna and Flora is a global agreement designed to guarantee that the international trading of wildlife species does not endanger their existence.

Endangered Species

Animal or plant species at risk of extinction due to factors like habitat destruction, pollution, or overhunting.

International Trade

The exchange of goods, services, and capital between countries and territories, influenced by international agreements, tariffs, and economic policies.

Precautionary Principle

A strategy to cope with possible risks where scientific understanding is yet incomplete, favoring preventive action in the face of uncertainty.