Which of the Following Would Not Necessarily Be a Related

question 39

Multiple Choice

Which of the following would not necessarily be a related party transaction?

• A)Sales to another corporation with a similar name.
• B)Purchases from another corporation that is controlled by the corporation's chief stockholder.
• C)Loan from the corporation to a major stockholder.
• D)Sale of land to the corporation by the spouse of a director.

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Definitions:

Productivity

The measure of efficiency of a person, machine, factory, system, etc., in converting inputs into useful outputs.

Company Culture

The shared values, beliefs, and practices that shape the social and psychological environment of a business.

Business Strategy

A plan of action designed to achieve a set of objectives and gain a competitive advantage in the market.

Selection Process

The series of steps employed by an organization to evaluate and choose the best candidates for a particular job.