Solved

Seble Wants to Open a Floral Shop in a Downtown

Question 2

Multiple Choice

Seble wants to open a floral shop in a downtown business district.She doesn't have funds enough to purchase inventory and pay six months'' rent up front.Seble approaches a good friend,Zhou,to discuss the possibility of Zhou investing funds and becoming a 25% partner in the business.After a lengthy discussion Zhou agrees to invest.Eight months later,Zhou and Seble have a major argument.In order for Zhou to sue Seble for fraud,all the following must be true except


A) Zhou's decision to invest was primarily based on Seble's assertion that she had prior floral retail experience.
B) Seble told Zhou she had worked at a floral shop for several years, when in fact she did not have any prior experience in floral retail.
C) before Zhou invested, Seble prepared a detailed business plan and sales forecasts, and provided Zhou with copies.
D) Zhou's 25% share of the business is worth substantially less than her initial investment.

Correct Answer:

verifed

Verified

Related Questions

Unlock this Answer For Free Now!

View this answer and more for free by performing one of the following actions

qr-code

Scan the QR code to install the App and get 2 free unlocks

upload documents

Unlock quizzes for free by uploading documents