Which of the Following Is an Incorrect Statement About a Corporation

question 28

Multiple Choice

Which of the following is an incorrect statement about a corporation?

• A) A corporation is an entity separate and distinct from its owners.
• B) Creditors ordinarily have recourse only to corporate assets in satisfaction of their claims.
• C) A corporation may be formed in writing orally or implied.
• D) A corporation is subject to numerous state and federal regulations.

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Definitions:

Simple Heuristics

Quick, efficient rules or mental shortcuts that help in decision-making, allowing for rapid judgments or problem-solving with minimal cognitive effort.

Evolutionary Psychologists

Scientists who study the psychological adaptations of humans to the changing physical and social environment, especially those that are shaped by natural selection.

Low Maintenance

Describing something or someone that requires minimal care, effort, or attention to maintain.

Purely Additive

A condition or situation where the combined effect of separate factors is exactly the sum of their effects when taken individually, without any interaction.