A shareholder in a corporation
A) may not sell his or her share of ownership in the business without the business dissolving.
B) can earn interest, but not dividends, from the profits of the business.
C) is a part owner of the business.
D) is personally liable for the debts of the corporation.
C
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Suppose the economy is operating below its full employment level. The Fed
A) can move the economy toward the full employment level by expanding the money supply to increase aggregate supply. B) can move the economy toward the full employment level by expanding the money supply to increase aggregate demand through both its direct and its indirect effects. C) can move the economy toward the full employment level by expanding the money supply to increase aggregate demand and to hold prices constant. D) is powerless to affect either aggregate demand or aggregate supply. Fiscal policy is needed.
A period of time against which costs of the market basket in other periods will be compared in computing a price index is called
A. the inflation period. B. the market basket. C. the adjustment period. D. the base period.