Which of the following is an advantage of a Company/Corporation business structure?Group of answer choicesUnlimited liabilityTaxed dependent on incomeLimited liabilityNot very complicated to set up
Question
Which of the following is an advantage of a Company/Corporation business structure?Group of answer choicesUnlimited liabilityTaxed dependent on incomeLimited liabilityNot very complicated to set up
Solution
The advantage of a Company/Corporation business structure from the given options is Limited liability. This means that if the company incurs debts or is sued, the personal assets of the shareholders are not at risk. They are only liable up to the amount they have invested in the company.
Similar Questions
Multiple Choice QuestionWhat is one advantage of corporations?Multiple choice question.Limited liabilityEase of formationDouble taxationLack of government regulations
Limited liability is a benefit for the owners of: Group of answer choicessole proprietorships and partnershipspartnershipscompanies/corporationsole proprietorships
A major advantage of the corporate form of ownership is ______.Multiple choice question.limited legal liabilityease of formationlimited lifethat corporate earnings aren't taxed until they are distributed to owners as dividendsunlimited legal liability
Explain about features, advantages and disadvantages of limited liability company
Which of the following is not one of the advantages of a sole proprietorship?Multiple Choiceease and cost of formationsecrecyflexibility and control of the businessunlimited liability
Upgrade your grade with Knowee
Get personalized homework help. Review tough concepts in more detail, or go deeper into your topic by exploring other relevant questions.