Which of the Following Is Not True About Limited Liability

question 66

Multiple Choice

Which of the following is not true about limited liability companies under the Uniform Limited Liability Company Act?

• A) Limited liability companies can be formed with only one member.
• B) Limited liability companies can only be taxed as partnerships.
• C) A limited liability company must use the words "limited liability company" in its name or use "LLC" or "LC."
• D) In order to form a limited liability company,articles of organization must be filed with the state.

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Definitions:

Inventory

The products and supplies that a company possesses with the primary intention of selling or converting them.

Financial Manager

A professional responsible for the financial health of a corporation, overseeing investment activities, and planning strategies for the long-term financial objectives.

Distribution Center

A facility where goods are received, stored, and then distributed to consumers or retail outlets.

New Store

A newly established retail outlet or branch of a business that has recently started operations.