Which of the Following Forms of Business Organization Have Unlimited

question 71

Multiple Choice

Which of the following forms of business organization have unlimited liability?
I. Corporation
II. General partnership

• A) Only statement I is correct
• B) Only statement II is correct
• C) Both statements I and II are correct
• D) Neither statement I nor II is correct

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Definitions:

Elastic Supply

A scenario where the quantity supplied of a good or service changes significantly in response to changes in its price.

Deadweight Loss

A loss of economic efficiency that occurs when equilibrium for a good or a service is not achieved, leading to a misallocation of resources.

Mutually Beneficial Transactions

Economic exchanges that provide benefits to all parties involved, improving their respective situations.

Inefficiency

A situation where resources are not used in the most effective way, leading to wasted potential output.