Your company just developed a chemical for sterilizing


Your company just developed a chemical for sterilizing killer bees which are a nuisance. However U.S laws and regulations are strict regarding this sort of practice due to lack of testing and the potential side effects. In order to reduce corporate risk and exposure from the use of the new potentially hazardous chemical, the company president suggests establishing a separate wholly owned company. The new dummy corporation will take ownership of the patent covering for the chemical, to shield the primary organization from liability in the event of future harm.

What would you do if you were working for this corporation and the president of the company told you to implement the plan of setting up the dummy corporation?

Solution Preview :

Prepared by a verified Expert
Managerial Accounting: Your company just developed a chemical for sterilizing
Reference No:- TGS02846027

Now Priced at $10 (50% Discount)

Recommended (95%)

Rated (4.7/5)