A Joint Venture Is Different from a Partnership in That

question 24

Multiple Choice

A joint venture is different from a partnership in that the joint venture:

• A)can be formed only by two individuals.
• B)is formed for a specific purpose.
• C)continues indefinitely.
• D)requires that profits be shared equally.

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Definitions:

Accounts Receivable

Money owed to a business for goods or services that have been delivered or used but not yet paid for by customers.

Current Liabilities

Debts or obligations that are due to be paid within one year or within the normal operating cycle of the business, whichever is longer.

Accounts Receivable

Money owed to a business by its customers for goods or services that have been delivered but not yet paid for.

Rate of Return on Investment

A measure of the profitability and efficiency of an investment, calculated by dividing the investment's gain by its cost.