Which of the Following Is a Form of Business Organization

question 97

Multiple Choice

Which of the following is a form of business organization authorized by state law that allows professionals to enjoy the tax benefits of a partnership while limiting in some way the normal joint and several liability of partners?

• A) Limited liability partnership
• B) Limited liability company
• C) Professional corporation
• D) Limited partnership

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Definitions:

Zero Production Costs

The hypothetical situation in which a good or service can be produced with no expenditure or effort, leading to an unlimited supply.

Profit-Maximizing Monopolist

A monopolist that sets its output and price levels to achieve the highest possible profit, given its unique position as the sole supplier in the market.

Demand Schedule

A chart or table that shows the quantity of a good or service that consumers are willing and able to purchase at various prices.

Elastic Segment

refers to a portion of the market where demand is highly sensitive to changes in price.