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:

Management by Objectives (MBO)

A strategic management model that aims to improve the performance of an organization by clearly defining objectives that are agreed to by both management and employees.

Performance Management System (PMS)

A framework used by organizations to monitor, evaluate, and enhance the performance of employees through set objectives and feedback.

Competitive Advantage

The unique attributes or capabilities that enable an organization to outperform its competitors.

Positive Publicity

Favorable attention directed towards an organization or individual from the media or public, enhancing reputation.