A Form of Business Whose Profits Are Taxed Twice Is

question 250

Multiple Choice

A form of business whose profits are taxed twice is

• A) a proprietorship.
• B) a partnership.
• C) a corporation.
• D) either a proprietorship or a partnership, depending on other information.

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Definitions:

Entry Price

The price at which a security or asset was bought, affecting the calculation of gains and losses for accounting or tax purposes.

Principal Market

The market with the greatest volume and level of activity for the asset.

Active Market

A market in which transactions for the asset or liability take place with sufficient frequency and volume to provide pricing information on an ongoing basis.

Non-performance Risk

Non-performance risk is the risk that a counterparty will not fulfil their contractual obligations, affecting the valuation of financial instruments.