Which of the following is true of a franchising relationship?

A) A franchisor pays a percentage of the gross sales to a franchisee.
B) Usually, a franchisee is a foreign national whom a franchisor supplies with goods.
C) A franchisee sells or distributes goods using a trade name or trademark owned by a franchisor.
D) Federal law allows franchisors to terminate franchise agreements without any cause in order to protect their patent rights.


C

Business

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Firms use short-term financing for

a. assets they expect to convert to cash in the short run. b. assets to be used over long periods. c. liabilities they expect to convert to cash in the short run. d. liabilities to be used over long periods. e. shareholders' equity they expect to convert to cash in the short run.

Business

Ordinarily, a corporation owning a significant portion of the voting stock of another corporation accounts for the investment using the equity method

Indicate whether the statement is true or false

Business

"Actual malice" in defamation cases against the press requires a showing that a reporter intentionally lied or recklessly disregarded the truth

Indicate whether the statement is true or false

Business

The present value of an annuity increases as the discount rate increases

Indicate whether this statement is true or false.

Business