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Consequently, no rate of return was discussed for the initial investment, and a minimum profit/maximum loss threshold was not set to signal when to shut down.
Day-to-day business control resided entirely on the Operations Manager (Torres) whose services were initially valued at P25,000, the same amount each of the three capitalists invested. While it was not discussed whether this contribution arrangement would have held perpetually through all financing needs, it should have been reasonable to expect Torres to contribute actual cash in succeeding funding requirements. Moreover, management accountability on the part of Torres to the three capitalists was not discussed...
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