Which of the following statements is considered an advantage of the corporate form of organization?
A)Additional income tax
B)Government regulations
C)Limited liability of shareholders
D)Separation of ownership and management

Question

Quizplus · Accepted Answer

Limited liability of shareholders means that the financial liability of shareholders is limited to the amount of their investment in the company. This is considered an advantage because it protects individual shareholders from personal financial ruin in case of the company's failure or legal issues.

Which of the Following Statements Is Considered an Advantage of the Corporate