Which of the Following Is a Disadvantage of the Corporate

question 156

Multiple Choice

Which of the following is a disadvantage of the corporate form of organization?

• A) Both the corporation and its stockholders are taxed on profits retained and distributed.
• B) Ownership of stock is easy to transfer.
• C) More capital can be raised by the corporate form.
• D) Corporations can hire better managers.
• E) The organization survives its owners.

---

Definitions:

Group Norms

Shared guidelines or rules that inform behavior within a group, influencing members' actions and interactions.

Isolated

Being separated from others or situated alone, often leading to a lack of contact or communication.

Appropriate Compliment

A respectful and fitting expression of praise or admiration for someone or something.

Gold Pin

A piece of jewelry or ornament made of gold, typically used as a decorative fastening or accessory.