Under what the agreement you hold of the firms stock

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A friend convinces you that he has a great idea for a business, and the two of you incorporate. You supply him with funds and let him make all the executive decisions. Under the agreement you hold 30% of the firms stock and your friend holds 70%. Why should you ever put yourself into a position where your friends decision will carry the day, whether you agree with him or not? What does this tell you about problems that allegedly stem from separation of ownership and control?

Reference no: EM13201854

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