Which of the Following Is an Advantage of the Corporate

question 100

Multiple Choice

Which of the following is an advantage of the corporate form of organization?

• A) Ownership of stock is easy to transfer.
• B) Forming a corporation is a complex and costly process.
• C) The corporation and its stockholders pay taxes on profits.
• D) A corporation must submit detailed information to government agencies.
• E) It is difficult to keep operations confidential because of required reports.

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Definitions:

Internal Validity

refers to the extent to which a study can demonstrate a clear cause-and-effect relationship between variables, unconfounded by extraneous factors.

Causal Relationships

Connections between variables where a change in one variable directly influences a change in another.

External Validity

The extent to which the findings of a study can be generalized to other settings, populations, or time periods.

Laboratory Experiments

Experiments conducted in a controlled environment where variables can be manipulated and measured precisely.