For which organization are owners typically separate from managers and not involved in the day-to-day operations,sometimes resulting in managers making decisions that are not in the best interest of the owner(s)?
A)sole proprietorship
B)partnership
C)corporation
D)sole proprietorship and partnership

Question

Quizplus · Accepted Answer

In a corporation, owner(s) hold shares of the company and elect a board of directors to make high-level decisions and hire managers to handle day-to-day operations. This separation of ownership and management can lead to conflicts of interest, as managers may prioritize their own interests over those of the owners. In a sole proprietorship or partnership, the owner(s) are typically involved in the day-to-day operations and decision making.

For Which Organization Are Owners Typically Separate from Managers and Not