Emily Wants to Open a Chain of Hair Styling Salons

question 97

Multiple Choice

Emily wants to open a chain of hair styling salons and hopes to attract investors to help finance growth. She considered forming a C corporation, but wants to have more flexibility about how the new business will be taxed. She also wants to offer investors/owners limited liability. Emily can satisfy her objectives by setting up a(n) :

• A) limited liability company.
• B) S corporation.
• C) alien corporation.
• D) general partnership.

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Definitions:

Misfire

An engine condition where a cylinder fails to ignite its fuel/air mixture properly, leading to performance issues.

MAP Sensor

Stands for Manifold Absolute Pressure Sensor, which measures the air pressure within the intake manifold to adjust fuel delivery and engine load calculations.

Knock Sensor

A device in an internal combustion engine that detects engine knock or pinging, which is a symptom of pre-detonation, and signals the control unit to adjust the ignition timing.

Crankshaft Position Sensor

A sensor in an engine that monitors the position or rotational speed of the crankshaft, important for engine management systems.