In the Context of Legal Forms of Business, Identify a True

question 10

Multiple Choice

In the context of legal forms of business, identify a true statement about sole proprietorship firms.

• A)These firms can have multiple founders with equal stakes so long as a single individual is considered to be the owner.
• B)Laws governing business practices do not recognize other equity investors, which limits the growth potential of such firms.
• C)Because of the limited nature of the growth potential of such firms, any profits they make are exempt from federal taxation.
• D)Many communities discourage the formation of these firms because their operations are difficult to regulate.

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Definitions:

Neural Tube

The precursor to the central nervous system in embryonic development, which later develops into the brain and spinal cord.

Spinal Cord

A long, thin, tubular bundle of nervous tissue and support cells that extends from the brainstem to the lumbar region, facilitating communication between the brain and the body.

Genetic Counseling

Consultation and testing by trained experts that enable individuals to learn about their genetic heritage, including harmful conditions that they might pass along to any children they may conceive.

Prenuptial

A legal agreement made between two individuals before marrying, outlining the distribution of assets in the event of divorce or death.