A Limited Liability Company (LLC)

question 8

Multiple Choice

A limited liability company (LLC) :

• A)is a hybrid between a sole proprietorship and a partnership.
• B)prefers its profits be taxed as personal income to its owners.
• C)that meets the IRS criteria to be an LLC will be taxed like a corporation.
• D)provides limited liability for some, but not all, of its owners.
• E)cannot be created for professional service firms, such as accountants and attorneys.

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Definitions:

Multibranding

A strategy involving the marketing of multiple brands by a single company in the same market, enabling the diversification of offerings to appeal to different consumer segments.

Co-Branding

A strategic marketing partnership between two brands where they collaborate on a product or promotion, leveraging each other's brand strength to enhance perception and reach.

Multiproduct

Referring to a strategy or situation involving multiple products, typically by companies aiming to diversify offerings and cater to different consumer needs.

Product Life Cycle

The stages a product goes through from introduction to growth, maturity, and decline in the marketplace.