Darrell Inherited a Large Amount of Money from His Uncle

question 171

Multiple Choice

Darrell inherited a large amount of money from his uncle.Darrell wishes to start his own business, and his lawyers encourage him to make it a corporation.What disadvantage of a sole trader are the lawyers trying to avoid?

• A) Unlimited liability
• B) Lack of management skills
• C) Retention of all profits
• D) Lack of money
• E) Double taxation

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Definitions:

Collectivistic Orientation

A philosophy that promotes the notion of interdependence.

Individualistic Orientation

A mindset or approach focused on the rights, significance, and achievements of the individual over those of the collective group.

Self-rewarding Orientation

An approach or attitude where individuals find intrinsic satisfaction and motivation in their actions, without needing external rewards.

Nationalistic Orientation

A perspective or ideology that places the interests and cultural identity of one's own nation above others, often emphasizing sovereignty and patriotism.