Which of the Following Is NOT Indicative of a Related-Party

question 48

Multiple Choice

Which of the following is NOT indicative of a related-party transaction?

• A) an unusually large sale of merchandise to the company's best and largest customer
• B) loans to corporate officers at market rates of interest with a regular repayment schedule
• C) exchange of equipment between two companies owned by the same person
• D) sales of merchandise between a parent company and its subsidiary

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Definitions:

Punctual

The characteristic of being on time or performing an action promptly at the designated time.

Succession Planning

A strategy for identifying and developing future leaders at a company, in both short-term and long-term scenarios.

Performance Management

The process of ensuring employees' activities and outputs meet an organization's goals through methods like setting objectives, feedback, and evaluation.

Employer Branding

Strategies and processes employed by organizations to position themselves as preferred employers and attract prospective and retain current employees.