Which of the Following Is a Characteristic of a Limited-Liability

question 122

Multiple Choice

Which of the following is a characteristic of a limited-liability company (LLC) ?

• A)An LLC's life is terminated at any member's choice or death.
• B)Each member of an LLC is liable only for his or her own actions.
• C)An LLC must have more than five members.
• D)The income of members from an LLC is not taxed.

Interpret and analyze the effects of financial transactions on account receivables.

Understand and apply the concept of financial leverage and debt ratio in financial analysis.

Understand the process of posting from the general journal to the ledger accounts.

Assess the financial risk based on liabilities, assets, and equity.

---

Definitions:

Wheat Farmer

An individual or business involved in the cultivation of wheat as a primary crop.

Fast Food

Quick-service restaurants offering minimal table service and food that is prepared and served very quickly, often packaged for takeout or drive-through service.

Demand Curve

a graphical representation showing the relationship between the price of a good and the quantity of that good consumers are willing to buy.

Cost Functions

Mathematical relationships expressing the cost of production as a function of the quantity of output produced.