Which of the Following Could Be Described as Both an Advantage

question 113

Multiple Choice

Which of the following could be described as both an advantage and a disadvantage of incorporation?

• A)Continuous existence
• B)Limited liability
• C)Double taxation
• D)Lack of mutual agency

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Definitions:

Partnership

A business owned by two or more persons associated as partners.

Labour Unions

Organizations formed by workers to protect their rights and interests, often engaging in collective bargaining with employers over wages, benefits, and working conditions.

Internal Users

Individuals or groups within an organization who use financial and non-financial information to make decisions, such as management and employees.

External Users

Individuals and organizations outside a business who use its financial information for decision-making purposes.