​Which of the Following Is True of a Joint Venture

question 91

Multiple Choice

​Which of the following is true of a joint venture?

• A) A joint venture is a type of partnership in which investors co-own the enterprise.
• B) A joint venture occurs when a company chooses to purchase an existing foreign company, making the purchased company a wholly owned subsidiary of the parent.
• C) ​A joint venture results from the payment by a company for a business function formerly done in house.
• D) ​A U.S.firm is not allowed to enter into a joint venture with a foreign firm.

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Definitions:

Standard Error

A measure of the variability or dispersion of a sample statistic from the population parameter it estimates.

Mean

The average of a set of numerical values, calculated by adding them together and dividing by the number of terms in the set.

Confidence Interval

An interval of values, derived from statistics gathered from a sample, expected to cover the value of a hidden parameter in a population.

Standard Error

A statistic that measures the accuracy with which a sample distribution represents a population using the standard deviation of the sampling distribution.