Which of the Following Statements Is CORRECT

question 31

Multiple Choice

Which of the following statements is CORRECT?

• A) One advantage of forming a corporation is that equity investors are usually exposed to less liability than they would be in a partnership.
• B) Corporations face fewer regulations than proprietorships.
• C) One disadvantage of operating a business as a proprietor is that the firm is subject to double taxation,because taxes are levied at both the firm level and the owner level.
• D) It is generally less expensive to form a corporation than a proprietorship because,with a proprietorship,extensive legal documents are required.
• E) If a partnership goes bankrupt,each partner is exposed to liabilities only up to the amount of his or her investment in the business.

---

Definitions:

Gastric Phase

A phase of digestion that occurs in the stomach, initiated by the presence of food, which triggers acid secretion and gastric enzyme activity.

Gastrin

Hormone secreted in the mucosa of the stomach and duodenum that stimulates the secretion of hydrochloric acid by the parietal cells of the gastric glands.

Gastric Secretion

The process of producing and releasing fluids containing hydrochloric acid and digestive enzymes by the stomach lining.

Chyme

The fluid mixture of partially digested food and digestive secretions that is formed in the stomach and intestine during digestion.