Croissants Corporation and Donuts Company transfer their assets to Edibles Inc., which manages the assets and distributes the profits to Croissants and Donuts. This arrangement is a. none of the choices. b. a joint venture. c. a syndicate. d. a business trust.

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02-06-2021
Business

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Croissants Corporation and Donuts Company transfer their assets to Edibles Inc., which manages the assets and distributes the profits to Croissants and Donuts. This arrangement is a. none of the choices. b. a joint venture. c. a syndicate. d. a business trust.

Sagot :

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Answer:

Edibles Inc.

This arrangement whereby Croissants Corporation and Donuts Company transfer their assets to Edibles Inc. is called:

d. a business trust.

Explanation:

Edibles Inc., as a trustee, carries out business transactions on behalf of Croissants Corporation and Donuts Company, who are regarded as the trust's members (or beneficiaries). It is a formal structure that safeguards an entity's assets against creditors and ensures that the business is professionally run in line with accepted practices.

Sagot :

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