A distinguishing characteristic of a business trust is that:
A) the trust estate is devoted to the conduct of a business.
B) each beneficiary must have the consent of all the other beneficiaries in order to sell or transfer his interest in the trust.
C) the trustees and beneficiaries share the functions of management and control.
D) the trust can be established with no formality.

Question

Quizplus · Accepted Answer

A business trust is established to conduct a business and the trust estate is devoted to that business. This distinguishes it from other types of trusts, which may have a broader purpose or goals unrelated to business activities.

A Distinguishing Characteristic of a Business Trust Is That