The concept of limited liability for U.S. corporations means that:
a) If you buy shares of a corporation, you can't lose the money you invested
b) If you buy the stock of a company and it becomes bankrupt with outstanding liabilities, you can only lose the money you invested, not more
c) Corporations do not need to honor the liabilities incurred by the company's managers
d) The corporation pays income tax only once on profits, but shareholders then pay income tax on their dividends
Answer: b) If you buy the stock of a company and it becomes bankrupt with outstanding liabilities, you can only lose the money you invested, not more
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A. Inventory Quantities B. Inventory Start Quantity C. Chart of Accounts D. Opening Balance Equity
The short interest represents the amount of interest that borrowers owe on loans used to purchase stock
a. True b. False