Marsciva Technologies Is an Emerging Business

question 24

Multiple Choice

Marsciva Technologies is an emerging business.The firm considers the owners to be employees of the firm and therefore pays them salaries and bonuses.To reduce corporate tax, the owners of Marsciva Technologies pay themselves nearly all the profits generated so that very little actual profits are reported by the firm.Based on these characteristics, Marsciva Technologies is most likely a

• A)sole proprietorship.
• B)limited partnership.
• C)Subchapter S Corporation.
• D)Subchapter C Corporation.

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Definitions:

National Debt

The complete figure representing the debt a national government holds from borrowing, which is still outstanding.

Recessionary Gap

The difference between the actual level of GDP and the potential GDP that could be produced if all resources were fully employed, indicating an economy is not reaching its full output potential.

Fiscal Policy

Government decisions on taxation and spending to influence the economy, aiming to manipulate demand, inflation, and economic activity.

Monetary Policy

A central bank's management of money supply and interest rates to achieve macroeconomic objectives like controlling inflation, consumption, growth, and liquidity.