Which of the Following Forms of Organization Is Most Likely

question 51

Multiple Choice

Which of the following forms of organization is most likely to protect the personal assets of any partner or shareholder who has not been involved on an engagement resulting in litigation?

• A)Professional corporation.
• B)Limited liability partnership.
• C)Partnership.
• D)Subchapter M Incorporation.

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Definitions:

Reserve Requirement

The minimum amount of reserves that a bank must hold against its deposits, as mandated by central banking authorities to ensure liquidity.

Discount Rate

The rate of interest applied to loans given to commercial banks and other financial institutions by their local Federal Reserve Bank's credit facility.

Reserves

refers to funds or materials set aside or saved for future use or emergencies, often in the context of banking or natural resources.

Checkable Deposits

Bank account balances that can be accessed using checks, debit cards, or electronic means to make payments directly.