Which of the Following Is Not an Advantage of Incorporation

question 82

Multiple Choice

Which of the following is not an advantage of incorporation?

• A) Shareholders are not liable for debts of the corporation.
• B) There may be tax advantages.
• C) Shareholders can veto decisions of directors.
• D) Shares are easily transferred.
• E) Shareholders owe no duty to the corporation.

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Definitions:

Import

The act of bringing goods or services into a country from abroad for sale.

Export Restraints

Government-imposed limitations on the quantity or value of goods that can be exported from a country.

Trade Barriers

Measures imposed by governments to regulate or restrict international trade, including tariffs, quotas, embargoes, and standards.

Adverse Effects

Negative outcomes or damages that result from an action or policy.