A Franchise Is a Method of Doing Business in Which

question 99

Multiple Choice

A franchise is a method of doing business in which ________.

• A) an entrepreneur sets up and manages a small business based on an innovative idea or product
• B) a company's products or services are sold to independent third-party operators under the company's name
• C) a company buys ownership of another company and absorbs its employees and customer base into its own structure
• D) a business is able to achieve rapid sales growth in the service sector due to taking advantage of many advertising opportunities
• E) a small company is bought by a larger one and is absorbed into its existing structure

---

Definitions:

Japanese Yen

The official currency of Japan, symbolized as ¥ and known in the forex markets as JPY.

Mexican Peso

The Mexican Peso is the official currency of Mexico, represented by the symbol $ or MX$ to distinguish it from other dollar-denominated currencies.

Dollar Value

The worth or purchasing power of the United States dollar in terms of the amount of goods or services that one unit of money can buy.

Trade Deficit

A situation where a country's imports exceed its exports, leading to a negative balance of trade.