Which of the Following Statements Is Generally Not True for an Investor

question 63

Multiple Choice

Which of the following statements is generally not true for an investor who faces unlimited liability on an investment?

• A) The investor owns stock in the firm.
• B) The investor has no partners.
• C) The investor is subject to double taxation.
• D) The investor is responsible for managing the firm.

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Definitions:

Formal presentation

A structured, prepared speech that is given to an audience for the purpose of informing, persuading, or entertaining.

Guessing

Making an assumption or judgement without sufficient information or evidence, often relying on intuition rather than factual verification.

Organization levels

The hierarchy within an organization that starts from the top with strategic management, through to middle management and down to operational levels.

Press releases

Official statements issued to newspapers and other news media for the purpose of providing information, an official statement, or making an announcement.