Which of the Following Statements About the Organization of Firms

question 119

Multiple Choice

Which of the following statements about the organization of firms is true?

• A)Partnerships are the most common form of business organization in Canada.
• B)Owners of a corporation have unlimited liability.
• C)Corporations have limited access to money markets.
• D)Owners of a corporation are not personally liable for the firm's actions,though its directors may be.
• E)Crown corporations are never interested in increasing profits because they have other goals.

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Definitions:

Utility Function

An economic concept that measures preferences over a set of goods and services, reflecting satisfaction or happiness.

Indifference Curve

A graphical representation in microeconomic theory of all possible bundles of goods between which a consumer is indifferent, showing preferences of equal utility.

Same Amount Of X And Y

This refers to a situation or condition where quantities or magnitudes of two variables, X and Y, are equal.

Utility Function

A mathematical representation of how a consumer derives satisfaction from consuming goods and services, depending on the quantity consumed.