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A Founder of a Family Business Is Contemplating Turning 20

Question 30

Multiple Choice

A founder of a family business is contemplating turning 20 percent of the business over to each of his five children.What would the most active child in the business (the leadership successor) then become?


A) a subcontracted employee with equal responsibility to relatives on the outside
B) an equal share employee with more responsibilities than relatives on the outside
C) a business owner that receives less return for work performed than relatives on the outside
D) a minority stockholder at the mercy of relatives on the outside

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