For which form of business ownership are the owners of a business legally distinct from the business?
A)Corporation
B)Partnership
C)Proprietorship
D)All of the above

Question

Quizplus · Accepted Answer

In a corporation, the owners (shareholders) are legally distinct from the business entity. This means that the corporation can sue or be sued, own assets, and incur debts and obligations separate from its owners. Shareholders are only liable for the amount of money they have invested in the corporation, and their personal assets are protected from business liabilities. This is not the case for partnerships or proprietorships, where the owners are personally liable for the debts and obligations of the business.

For Which Form of Business Ownership Are the Owners of a Business