Why Is It Possible for a Corporation to Enter into Contracts

question 81

Multiple Choice

Why is it possible for a corporation to enter into contracts, acquire assets, incur obligations, and enjoy protection against the seizure of its property?

• A) The number of owners, and hence the spread of risk among these owners, is not limited.
• B) Its owners are liable for any obligations it enters into.
• C) The state in which a corporation is incorporated provides safeguards against any wrongdoing by the corporation.
• D) It is a legally defined, artificial entity that is separate from its owners.

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Definitions:

Negative 1.0

Negative 1.0 is a numeric value representing a negative unit in floating-point notation, often used in contexts where a negative single increment or decrement is needed.

Java Statement

A line of code that performs a specific action in a Java program, such as declaring a variable or invoking a method.

Resize

The process of changing the size of an array or collection dynamically, often to accommodate more or fewer elements than it currently holds.

Optional

A container object used to contain not-null objects, providing a means to express optional values in Java.