ECONOMICS
TECHNOLOGY
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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a business that does international business
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a business with more than two owners
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a large business firm
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a business owned by individual stockholders
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Detailed explanation-1: -A corporation is a legal entity created by individuals, stockholders, or shareholders, with the purpose of operating for profit. Corporations are allowed to enter into contracts, sue and be sued, own assets, remit federal and state taxes, and borrow money from financial institutions.
Detailed explanation-2: -A corporation is a business entity that is owned by its shareholder(s), who elect a board of directors to oversee the organization’s activities. The corporation is liable for the actions and finances of the business – the shareholders are not.
Detailed explanation-3: -A business organized as a separate legal entity owned by stockholders is a corporation.
Detailed explanation-4: -Sole proprietorship Sole proprietorships do not produce a separate business entity. This means your business assets and liabilities are not separate from your personal assets and liabilities. You can be held personally liable for the debts and obligations of the business.
Detailed explanation-5: -Corporate shareholders are when a corporation owns shares within another corporation. Whereas, a non-corporate shareholder is an individual that owns shares within a corporation.