Which of the Following Statements Is CORRECT

question 29

Multiple Choice

Which of the following statements is CORRECT?

• A) Corporations are taxed more favorably than sole proprietorships.
• B) Corporations have unlimited liability.
• C) Because of their size, large corporations face fewer regulations than smaller corporations and sole proprietorships.
• D) Reducing the threat of corporate takeover increases the likelihood that managers will act in shareholders' interests.
• E) Bond covenants are designed to protect bondholders and to reduce potential conflicts between stockholders and bondholders.

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Definitions:

Emotional Intelligence

The ability to recognize, understand, and manage our own emotions and to recognize, understand, and influence the emotions of others.

Manage Ourselves

The process of self-regulation and personal management in aspects such as behavior, emotions, and tasks.

Human Skills

Interpersonal and communication skills that enable individuals to work effectively with others and navigate social interactions.

Inventory Turnover

A ratio showing how many times a company's inventory is sold and replaced over a specific period, indicating the efficiency of inventory management.