Which of the Following Is a Benefit of Forming a Corporation

question 23

Multiple Choice

Which of the following is a benefit of forming a corporation?

• A) Corporations can be double taxed.
• B) Owners of a corporation are passive investors.
• C) Owners of a corporation are subject to unlimited liability.
• D) Corporations can offer stock options to employees.
• E) There is little paperwork to file when forming a corporation.

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Definitions:

Genus

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Collectible Item

An object regarded as valuable or desired by collectors due to its rarity, condition, beauty, or personal emotional connection.

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An item or entity that exists in the physical world, capable of being perceived by the senses and subject to the laws of physics.

Circular Definition

A definition that uses the term being defined as part of its own definition, thus not providing any useful information.