In Which of the Following Ways Is a Limited Liability

question 49

Multiple Choice

In which of the following ways is a limited liability company like a corporation?

• A) It was created and developed first in the United States.
• B) It can choose to be considered a partnership for tax purposes.
• C) Its owners' liability is restricted to their investment.
• D) It is directly managed by the owners.

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Definitions:

Price Ceiling

A Price Ceiling is a government-imposed limit on how high a price can be charged for a product, intended to protect consumers from exorbitant prices.

Supply Curve

A graph showing the relationship between the quantity of a good that producers are willing to sell and the price of the good.

Gasoline

A petroleum-derived flammable liquid primarily used as fuel in internal combustion engines.

Tax Per Unit

A levy imposed by a government on each unit of goods or services sold.