An Advantage of Starting a New Business (Versus Buying an Existing

question 39

Multiple Choice

An advantage of starting a new business (versus buying an existing business or becoming a franchisee) is the _____.

• A)established name and following
• B)time lag before opening
• C)flexibility in controllable variable selection
• D)management assistance and training

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Definitions:

Legislatures

Law-making bodies in a government that create, amend, and enact laws.

Courts

Institutions vested with the power to administer justice by interpreting and applying laws.

Privity Requirement

The legal doctrine stating that only parties involved in the creation of a contract have the standing to enforce or challenge it.

Securities Act

A 1933 United States law that regulates the sale of securities, primarily requiring the disclosure of important financial information through registration of securities.