Which of the Following Statements Is Considered an Advantage of the Corporate

question 30

Multiple Choice

Which of the following statements is considered an advantage of the corporate form of organization?

• A)additional income tax
• B)government regulations
• C)limited liability of shareholders
• D)increased disclosure requirements

---

Definitions:

Crossover Point

A point in finance where two or more rates or options meet and either the advantages or disadvantages of one equals the other.

Mutually Exclusive

Refers to a situation where the occurrence of one event precludes the occurrence of another event in a scenario.

Independent Project

In project management, a project that does not depend on the acceptance or completion of other projects.

Mutually Exclusive Projects

Investment opportunities such that if one is chosen, the others must be rejected.