Which of the Following Is a Characteristic of a Limited-Liability

question 122

Multiple Choice

Which of the following is a characteristic of a limited-liability company (LLC) ?

• A)An LLC's life is terminated at any member's choice or death.
• B)Each member of an LLC is liable only for his or her own actions.
• C)An LLC must have more than five members.
• D)The income of members from an LLC is not taxed.

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Definitions:

Outstanding Checks

Checks that have been written and recorded in the payer's accounting system but have not yet been cashed or cleared by the bank.

Balance Per Bank

The balance as per bank refers to the amount of money shown in the bank's records as available in an account.

NSF Check

A cheque that has been returned by the bank because the account on which it was drawn did not have sufficient funds, stands for Non-Sufficient Funds.

Bank Errors

Mistakes made by a bank in the processing of transactions, which can include errors in deposits, withdrawals, or charges that affect account balances.