Which of the Following Is an Advantage of Limited Liability

question 27

Multiple Choice

Which of the following is an advantage of limited liability companies (LLCs) ?

• A) They can have any number of owners.
• B) The process of formation of an LLC is simple and fast.
• C) They are exempted from paying annual franchise tax.
• D) They do not need to register as foreign companies when doing business in other states.

Apply the principles of opportunity cost and comparative advantage to real-life scenarios.

Understand the importance of specialization and exchange in improving efficiency.

Recognize how opportunity costs influence everyday decisions, including time management.

Grasp the concept of sunk costs and their irrelevance to future economic decisions.

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Definitions:

Lower Classes

A segment of society with lower economic and social status, often associated with lower income and limited access to resources.

Mainstream

Representing prevalent attitudes, values, and practices of the majority within a society or group.

Religious Organizations

Groups or institutions formed around shared beliefs and practices concerning the sacred or divine.

All Classes

Refers to all social strata in a society, from the wealthiest to the poorest, encompassing the full spectrum of socio-economic categories.