Question

In a trust agreement, companies...
a. Buy out stock of their competitors.
b. Buy stock in companies of trusted friends.
C. Turn over their stock to a group of trustees to create one larger company.
d. Give up their profits to a group of trustees

Answer 1

Answer:

C.

Explanation:

A Trust Agreement can be defined as arrangement between the third party or trustees and beneficiary(-ies). In such agreements, trustees or the thhird party take care of property or holds assets for a beneficiary. A trust agreement sets out the rules to be followed by trustees, who holds the assets, for beneficiary(-ies).

Companies, who form trust agreements, do so to turn over their stocks to trustees or the third party and create one larger company.

Therefore, option C is correct.

Answer 2

Answer:

C, turn over their stock in companies of trusted friends

Explanation:

"A trust agreement is a document that allows you (the trustor) to legally transfer the ownership of specific assets to another person (trustee) to be held for the trustor's beneficiaries. ... Assets controlled in the trust. Powers and limitations for the trustee. Compensation for the trustee" -

citation:

https://www.brownandcrona.com/2020/07/12/what-is-the-purpose-of-a-trust-agreement/#:~:text=A%20trust%20agreement%20is%20a,held%20for%20the%20trustor's%20beneficiaries.&text=Assets%20controlled%20in%20the%20trust,Compensation%20for%20the%20trustee