Which of the Following Are Advantages of the Corporate Form

question 38

Multiple Choice

Which of the following are advantages of the corporate form of business ownership?
I.limited liability for firm debt
II.double taxation
III.ability to raise capital
IV.unlimited firm life

• A)I and II only
• B)III and IV only
• C)I, III, and IV only
• D)II, III, and IV only
• E)I, II, III, and IV

---

Definitions:

Framing Effect

The cognitive bias where people decide on options based on whether they are presented in a positive or negative way.

Extended Service

A service agreement that extends beyond the standard warranty period, offering additional protection or maintenance services.

iPod Shuffle

A compact and discontinued music player designed by Apple Inc., notable for its small size, lack of a screen, and shuffle feature for playing music in a random order.

Anchoring Effect

A cognitive bias where individuals rely too heavily on the first piece of information offered (the "anchor") when making decisions.