Which of the Following Statements Is CORRECT

question 18

Multiple Choice

Which of the following statements is CORRECT?

• A) Corporations generally face fewer regulations than sole proprietorships.
• B) Corporate shareholders are exposed to unlimited liability.
• C) It is usually easier to transfer ownership in a corporation than in a partnership.
• D) Corporate shareholders are exposed to unlimited liability, but this factor is offset by the tax advantages of incorporation.
• E) There is a tax disadvantage to incorporation, and there is no way any corporation can escape this disadvantage, even if it is small.

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Definitions:

Behavioral Contracting

A therapy technique involving the creation of a written agreement between two parties to reinforce or change specific behaviors.

Systematic Desensitization

A therapeutic technique used to reduce phobia or anxiety through gradual exposure to the feared object or situation combined with relaxation exercises.

Schizophrenia

Severe disorder in which the person suffers from disordered thinking, bizarre behavior, hallucinations, and an inability to distinguish between fantasy and reality.

Sexually Attracted

The feeling of being drawn or interested in someone else in a sexual manner.