Which of the Following Corporate Characteristics Is a Disadvantage of a Corporation

question 251

Multiple Choice

Which of the following corporate characteristics is a disadvantage of a corporation?

• A) Stockholders have limited liability.
• B) A corporation has a continuous life.
• C) There is no mutual agency between the stockholders and the corporation.
• D) Earnings of a corporation may be subject to double taxation.

---

Definitions:

Lobby

A group of people seeking to influence politicians or public officials on a particular issue.

Kidnapped

A situation where an individual is forcibly abducted and held against their will, typically demanding ransom for their release.

Addition Rule

A method used in probability to determine the total probability of the occurrence of at least one of several events.

Deck of Cards

A standard set of 52 playing cards, used in various games, consisting of four suits: hearts, diamonds, clubs, and spades.