Robin Ltd and John Ltd enter into a business undertaking. There is a contractual agreement between the two companies whereby they share control and must agree on all strategic financial and operating decisions. Robin Ltd and John Ltd appoint Marian Ltd as the manager of the business undertaking. A separate set of accounting databases is established for the undertaking and each investor contributes cash to the undertaking. Robin Ltd and John Ltd enters into another separate agreement with Marian Ltd for it to sell the product of the business undertaking in the market on their behalf. The business undertaking is:

		a joint operation because the investors have agreed to a sharing of control and to a sharing of the product.
		a joint venture because it has been established to operate the business undertaking with the intention of making a profit.
		a simple partnership in which two companies operate as partners in a business undertaking.
		none of the others.