Identify Which of the Following Statements Is True

question 11

Multiple Choice

Identify which of the following statements is true.

• A) Formation of a partnership requires legal documentation.
• B) A partnership exists as long as there are at least two individuals or entities engaged in the active conduct of a trade or business or a financial operation, and the business is not a trust or a corporation.
• C) An individual engaged in the active conduct of a business must elect not to be taxed as a partnership.
• D) All of the above are false.

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Definitions:

Social Marketplace

An online platform that combines e-commerce with social media features, allowing users to buy, sell, and interact.

Craigslist

An online classified advertisements website with sections for jobs, housing, sales, services, community service, and more.

Fotolia

A stock photography website that offers users the ability to license images, vectors, and videos.

Social Networking Sites

Platforms on the internet that facilitate the building of social networks or social relations among people who share interests, activities, backgrounds, or real-life connections.