As a Form of Conducting Business in the United States,limited

question 17

Multiple Choice

As a form of conducting business in the United States,limited liability companies began:

• A) in Massachusetts, in the early 1800s.
• B) in 1950, when New York became the first state in the United States to enact legislation allowing limited liability companies.
• C) in 2000, when the United States Congress enacted legislation allowing limited liability companies.
• D) in Massachusetts, in the 1700s.
• E) in 1977, when Wyoming became the first state in the United States to enact legislation allowing limited liability companies.

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Definitions:

Selling Expenses

Costs incurred directly from the selling of products or services, including advertising, promotions, and sales personnel salaries.

Direct Labor

Labor costs directly associated with the production of goods or services, typically including wages of workers or employees involved in manufacturing.

Inventory Shrinkage

The loss of products between manufacture and point of sale, often due to theft, damage, or administrative errors.

Gross Margin

The difference between revenue and cost of goods sold, expressed as a percentage of revenue.