Any Transaction or Set of Transactions That Brings Together Two

question 102

Multiple Choice

Any transaction or set of transactions that brings together two or more previously separate entities to form a single accounting entity is called a

• A)business plan.
• B)business combination.
• C)corporation.
• D)joint venture.

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Definitions:

Undisclosed Principal

is a party in a contractual agreement whose existence and identity are not revealed to the third party at the time of contract formation, often in agency relationships.

Express Authorization

Directly stated or clearly indicated authority given for an action or procedure.

Principal's Intention

In a contractual agreement, it refers to the primary party's goal or objective intended through the contract.

Third Restatement

The most recent revision or version of a restatement in law, which aims to rearticulate legal principles for clearer understanding and application.