Company A and B agree to engage in a joint venture. Which of the following statements pertaining to joint ventures is correct?
A) Both parties to a joint venture must contribute an equal amount of resources to the venture.
B) The party contributing the most resources to the venture has control over the venture.
C) Both parties have joint control over the venture.
D) Company A and B will retain ownership and title to any assets contributed to the joint venture.

Question

Quizplus · Accepted Answer

in a joint venture, both parties typically have joint control over the venture, meaning decisions and responsibilities are shared. Neither must contribute an equal amount of resources, and control is not necessarily dependent on the amount of resources contributed. Assets contributed to the joint venture are typically owned by the joint venture itself, not by either parent company.

Company a and B Agree to Engage in a Joint