Which Statement Does NOT Describe a Characteristic of a Corporation

question 222

Multiple Choice

Which statement does NOT describe a characteristic of a corporation?

• A) Its investors face unlimited liability.
• B) It produces more value of goods and services than any other type of business structure.
• C) It has the ability to issue stock to raise capital.
• D) It usually consists of many owners (in some cases, tens of thousands of owners or more).

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Definitions:

Unit Cost Data

Information related to the cost required to produce one unit of a product or service, including materials, labor, and overhead expenses.

Single-Price Monopoly

A monopolistic market structure where the monopolist charges the same price for every unit of the product sold to every consumer.

Economically Inefficient

A situation where resources are not used in the most productive way, leading to wasted potential output or outcomes.