What is a contractual arrangement called where two or more parties undertake an economic activity that is subject to joint control?
A) Subsidiary
B) Parent company
C) Associate
D) Joint venture

Question

Quizplus · Accepted Answer

A joint venture is a contractual arrangement where two or more parties undertake an economic activity that is subject to joint control. In a joint venture, the parties contribute capital or resources and share in the risks and rewards of the venture. Unlike a subsidiary, a joint venture is a separate legal entity that is jointly controlled by the parties involved. The other options, such as a parent company and an associate, refer to different types of ownership structures and are not relevant to a joint venture.

What Is a Contractual Arrangement Called Where Two or More