A Business Created as a Distinct Legal Entity Composed of One

question 31

Multiple Choice

A business created as a distinct legal entity composed of one or more individuals or entities is called a(n) :

• A) Corporation.
• B) Sole proprietorship.
• C) Partnership.
• D) Closed receivership.
• E) Open structure.

---

Definitions:

Neighbors

Individuals or entities located near one another, often used in the context of residential, geographic, or international proximity.

Market Failure

An instance where the free market's distribution of goods and services is inefficient, usually causing a reduction in net social welfare.

Allocate Resources

The process of distributing available resources, such as time, money, and assets, among various projects or business units to maximize efficiency and achieve strategic goals.

Efficiently

The ability to achieve a desired outcome with minimal wasted effort or expense.