An Unincorporated Entity with More Than One Owner Is, by Default

question 84

True/False

An unincorporated entity with more than one owner is, by default, taxed as a partnership.

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Definitions:

Assumes Obligations

The act of taking on responsibilities, duties, or commitments, often legally or contractually.

Employee-Owned Corporation

A business structure where employees hold a significant portion of the company's shares, contributing to decision-making processes.

Multi-National

Corporations or companies that operate in multiple countries outside of their headquarters or origin country.

Stockholders

Individuals or entities that own shares in a corporation, thus having an interest in its performance and profits.