Which of the following statements is CORRECT?
A) Corporations generally face fewer regulations than sole proprietorships.
B) Corporate shareholders are exposed to unlimited liability.
C) It is usually easier to transfer ownership in a corporation than in a partnership.
D) Corporate shareholders are exposed to unlimited liability, but this factor is offset by the tax advantages of incorporation.
E) There is a tax disadvantage to incorporation, and there is no way any corporation can escape this disadvantage, even if it is very small.

Question

Quizplus · Accepted Answer

It is usually easier to transfer ownership in a corporation than in a partnership. This is because ownership in a corporation is represented by shares of stock, which can be bought and sold more easily than transferring partnership interests.

Which of the Following Statements Is CORRECT