Which of the following types of business organizations terminates when its ownership structurechanges?
A) partnerships and proprietorships
B) only corporations
C) partnerships and corporations
D) proprietorships and corporations

Question

Quizplus · Accepted Answer

Both partnerships and proprietorships involve a single or a few owners, and the business entity ceases to exist when the ownership structure changes (e.g., because of death, retirement, etc.). In contrast, corporations have a legal existence separate from their owners, and changes in ownership do not result in the termination of the business entity.

Which of the Following Types of Business Organizations Terminates When