Which of the following is an advantage of ownership of a corporation over that of a sole proprietorship? I. The owners of the corporation have unlimited liability for the firm's debts II.It is the simplest to start III. The corporation has an unlimited life. IV. Dividends recieved by the corporation's shareholders are tax-exempt a. I only b. II only c. III only d. II and III only e. II and IV only
Which of the following is an advantage of ownership of a corporation over that of a sole proprietorship? I. The owners of the corporation have unlimited liability for the firm's debts II.It is the simplest to start III. The corporation has an unlimited life. IV. Dividends recieved by the corporation's shareholders are tax-exempt a. I only b. II only c. III only d. II and III only e. II and IV only
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Which of the following is an advantage of ownership of a corporation over that of a sole proprietorship?
I. The owners of the corporation have unlimited liability for the firm's debts
II.It is the simplest to start
III. The corporation has an unlimited life.
IV. Dividends recieved by the corporation's shareholders are tax-exempt
a. I only
b. II only
c. III only
d. II and III only
e. II and IV only
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