What Is the Main Idea Behind a Joint Venture

question 60

Multiple Choice

What is the main idea behind a joint venture?

• A)co-ownership of a company by two local entities
• B)ownership of a company by both a foreign entity and a local entity
• C)joint ownership of a company by two foreign entities
• D)ownership of a land property by two local entities

---

Definitions:

Payoffs

The returns or gains received from an investment or decision, which can vary based on different outcomes or scenarios.

Binary Options

Financial instruments that pay out either a fixed amount or nothing at all, depending on whether a certain condition is met at expiration, typically related to the price movement of a security.

Fixed Amount

A fixed amount refers to a specific quantity or sum of money that does not change over time, often used in financial contexts like investments, payments, or fees.

Specified Event

An occurrence or situation outlined within a contract that triggers certain actions or conditions, often used in insurance and derivatives contracts.