Which of the following are advantages of international funds?
I. greater diversification
II. potentially higher returns
III. income is taxed at a lower rate
IV. ease of investing compared to buying individual foreign securities
A) I and III only
B) I, III and IV only
C) I, II and IV only
D) II, III and IV only
Answer: C
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a. true b. false
Limited partnerships are not as prevalent as corporations because:
A) limited partners can lose up to three times the amount they invested in the partnership if the business goes bankrupt. B) limited partnerships have the disadvantage of double taxation. C) the general partner has no liability, making it difficult for the partnership to borrow money. D) it is easier to transfer ownership by selling common stock than it is to sell the partnership.