Question

softcorp and techgig, upcoming software companies in san diego, have decided to create a new and independent telecommunications company, st-source. each parent firm has agreed to have 50 percent equity in the new company. this is an example of a(n)

Answer 1

This is an example of an joint venture.

What is meant by joint venture?

• A joint venture consists of two or more parties working together to develop a single business or project for profit while splitting the related risks.
• A minimum of two natural persons or legal organizations must make up the parties to the joint venture.
• An agreement between two or more parties to pool their resources for the purpose of carrying out a certain job is known as a joint venture (JV).
• This work could be a brand-new project or any other commercial endeavor.
• Profits, losses, and costs incurred by a JV are shared equally by all members.
• A joint venture is when two or more companies combine their resources and knowledge to work toward a common objective.

To learn more about joint venture refer to:

https://brainly.com/question/9389546

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