In the state in which it is incorporated, a business is known as a(n)
A) S-corporation.
B) resident corporation.
C) public corporation.
D) foreign corporation.
E) domestic corporation.

Question

Quizplus · Accepted Answer

A business that is incorporated in a particular state is considered a domestic corporation within that state. This means that the business has its headquarters and main operations within the state and is subject to that state's laws and regulations. The other options do not apply to all businesses that are incorporated in a particular state. For example, a public corporation is one that has shares of stock that can be publicly traded, but not all businesses that are incorporated in a state have publicly traded shares. A foreign corporation is one that is incorporated in a different state or country than where it is doing business, so it does not apply to a business that is incorporated in the state in which it operates.

In the State in Which It Is Incorporated, a Business