The Existence of a Related Party Transaction May Be Indicated

Multiple Choice

The existence of a related party transaction may be indicated when another entity

A) Sells real estate to the corporation at a price that is comparable to its appraised value.
B) Absorbs expenses of the corporation under audit.
C) Borrows from the corporation at a rate of interest which equals the current market rate.
D) Lends to the corporation at a rate of interest which equals the current market rate.