Which of the Following Is True of the Management of an LLC

question 30

Multiple Choice

Which of the following is true of the management of an LLC (limited liability company) ?

• A) Members cannot become managers of an LLC.
• B) A manager-managed LLC shares management powers between members and managers.
• C) A nonmember can become a manager of an LLC.
• D) An LLC can be both member-managed and manager-managed simultaneously.

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Definitions:

Statements Of Functional Expenses

Financial reports that categorize an organization's expenses according to their purpose, such as program services, administration, or fundraising.

Statements Of Financial Position

Financial reports that present the assets, liabilities, and equity of an entity at a given point in time, offering insight into its financial health.

Depreciation

The process by which tangible assets lose value over time due to use, wear and tear, or obsolescence.

Internal Audit Committee

A committee within an organization tasked with overseeing the internal audit functions, including compliance with laws, regulations, and standards of conduct.