A __________Is a Strategic Alliance in Which Two Existing Companies

question 49

Multiple Choice

A __________is a strategic alliance in which two existing companies collaborate to form a third, independent company.

• A) joint venture
• B) Franchise
• C) wholly owned affiliate
• D) global new venture
• E) cooperative contract

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Definitions:

Automatic Extension

An extension of time granted by the IRS for filing tax returns without needing to file a request form.

C Corporation

A legal structure for a corporation in which the owners, or shareholders, are taxed separately from the entity.

Return

A document containing details about an individual's or entity's income, deductions, and tax liabilities filed with the tax authorities.

Basis

The initial value of an asset for tax purposes, used to calculate depreciation, amortization, and determines the gain or loss on the asset's sale.