All of the Following Statements Concerning LLC's Are Incorrect Except

question 14

Multiple Choice

All of the following statements concerning LLC's are incorrect except: ______.

• A) Federal income tax is due on its income as an entity.
• B) Income flows through to the members based on their proportionate interests in the company.
• C) No filing is necessary to form a limited liability company.
• D) All members enjoy unlimited liability.

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Definitions:

Specific Author

An individual writer or creator who is identified by name.

Evaluating

The process of assessing or appraising the value, significance, or efficacy of something based on set criteria or standards.

Originality

The quality of being novel or unusual, especially in ideas, art, or invention.