Which of the following statements is TRUE of the liability of investors in a corporation?
A) Majority investors are personally liable, whereas minority investors are not personally liable.
B) Investors have personal liability for the business transactions in corporations.
C) Investor's liability is limited to the amount invested in the corporation.
D) Investors are personally liable for transactions, whereas their property is not liable.
E) Investors' property is liable for the business transactions but investors are not personally liable.

Question

Quizplus · Accepted Answer

A)Investor's liability is limited to the amount of his or her investment in a corporation.
B)Investor's liability is limited to the amount of his or her investment in a corporation.
C)Investor's liability is limited to the amount of his or her investment in a corporation.
D)Investor's liability is limited to the amount of his or her investment in a corporation.
E)Investor's liability is limited to the amount of his or her investment in a corporation.

Which of the Following Statements Is TRUE of the Liability