What Is the Most Compelling Reason for the Creation of a Corporate

question 5

Multiple Choice

What is the most compelling reason for the creation of a corporate business entity?

• A) to extend director's liability in the event of bankruptcy
• B) to limit owners' liability in the event of bankruptcy
• C) to share joint liability in the event of bankruptcy
• D) to proportion liability in the event of bankruptcy

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Definitions:

In Vivo Exposure

A therapeutic technique involving direct exposure to a feared object, situation, or activity in real-life conditions.

Flooding

A psychological therapy technique aimed at helping people confront fears directly by exposure to anxiety-provoking stimuli until the stimuli no longer induce anxiety.

Imaginal Exposure

A therapeutic technique that involves repeatedly reliving the traumatic experience in one's imagination to reduce the power it holds.

In Vivo

A term used in therapy to describe treatments or interventions conducted in the client's natural environment.