Question 9 9. When starting a business, choosing which kind of busine decision with many implications. Why might venture capita

Foundations of Business (MindTap Course List)
6th Edition
ISBN:9781337386920
Author:William M. Pride, Robert J. Hughes, Jack R. Kapoor
Publisher:William M. Pride, Robert J. Hughes, Jack R. Kapoor
Chapter15: Using Management And Accounting Information
Section15.5D: Liabilities And Owners’ Equity
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This is business law, there were no options
Question 9
9. When starting a business, choosing which kind of business entity to form is an important
decision with many implications. Why might venture capitalist prefer to invest in a C corporation?
O A. Because the C Corporation is easier to merge, sell, or take public
O B. Because the laws of an LLC are still too uncertain
O C. The capital gains tax is more favorable under a C Corps
O D. All of the Above
O E. A and B only
Question 10
10. Which of the following statements are true about a social enterprise?
A. A social enterprise is always a nonprofit
B. A social enterprise operates in a socially responsible manner
O C. A social enterprise trades profitability for social responsibility
O D. A social enterprise measures its social benefit by the amount of profits
O E. Only B and C are true
Transcribed Image Text:This is business law, there were no options Question 9 9. When starting a business, choosing which kind of business entity to form is an important decision with many implications. Why might venture capitalist prefer to invest in a C corporation? O A. Because the C Corporation is easier to merge, sell, or take public O B. Because the laws of an LLC are still too uncertain O C. The capital gains tax is more favorable under a C Corps O D. All of the Above O E. A and B only Question 10 10. Which of the following statements are true about a social enterprise? A. A social enterprise is always a nonprofit B. A social enterprise operates in a socially responsible manner O C. A social enterprise trades profitability for social responsibility O D. A social enterprise measures its social benefit by the amount of profits O E. Only B and C are true
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