What concept describes the situation where the owner of an asset grants another party the right to use that asset,but the owner retains all controlling rights that are not explicitly stipulated in the contract?
A)Asset specificity
B)Non-contract rights of ownership
C)Control rights agreement
D)Residual rights of control
E)Coordination

Question

Quizplus · Accepted Answer

The concept that describes this situation is residual rights of control, which means that the owner retains all controlling rights that are not explicitly stipulated in the contract. Option A (asset specificity) refers to the degree to which an asset is specialized for a specific use or task. Option B (non-contract rights of ownership) is not relevant to this concept. Option C (control rights agreement) is a made-up term that does not accurately describe this situation. Option E (coordination) refers to the process of directing and harmonizing activities within an organization, and is not directly related to the concept described in the question.

What Concept Describes the Situation Where the Owner of an Asset