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In Exchange for a Small Share of Ownership,KMC Group Makes

question 52

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In exchange for a small share of ownership,KMC Group makes a small investment in TechPro,a new,independent software firm.KMC Group provides support to TechPro during its early stages by helping the founders refine their ideas,hire suitable employees and train them,establish connections with industry insiders,and deal with legal issues.KMC Group is most likely to be a(n) ________.


Definitions:

Check

A written, dated, and signed instrument that directs a bank to pay a specific sum of money to the bearer.

Shelter Principle

A legal doctrine in property law that allows a person who acquires property in good faith and without notice of prior claims to be protected from those claims.

Holder

In financial terms, an individual or entity that possesses a negotiable instrument, such as a check or bond, legally.

Holder In Due Course

A legal term for a person who has acquired a negotiable instrument in good faith and for value, and thus has certain protections against defenses and claims that could be asserted against the original payee.

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