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Juan wants to be involved in business. He has plenty of capital to invest, but he does not want to be in management. He also does not want to worry about fluctuations in the market prices of debt and equity instruments. Which form of business would be best for Juan?

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Answer:

Juan wants to be involved in business. He has plenty of capital to invest, but he does not want to be in management. He also does not want to worry about fluctuations in the market prices of debt and equity instruments. Which form of business would be best for Juan?

It is expedient of Juan to know that the only market that could allow a fixed price and there would not be fluctuation at all would solely be a market that is  not competitive whereby only Juan sells and determine price of goods and services to be rendered.

Juan needs to venture in a business that only him would be the manufacturer of such commodity, hence; he determines the price all alone

Explanation: