Jose starts a small restaurant.On weekends, he works with his cousin to construct the tables, chairs, and counters that will go into the restaurant.What is the name given to the result of these efforts?
A)labor equity
B)owner labor
C)sweat equity
D)family ownership

Question

Quizplus · Accepted Answer

Sweat equity refers to the investment of time, effort, and hard work put in by an individual or a group in a business venture, usually in exchange for equity in the business. In this scenario, Jose and his cousin are investing their time and effort into constructing the furniture for their restaurant, which would count as sweat equity.

Jose Starts a Small Restaurant