Which statement is FALSE considering both advantages and disadvantages of corporations as a legal business organization?
A) Perhaps the greatest advantage of corporations is that their owners (the shareholders) enjoy limited liability—limited to the value of their shares.
B) Legally the corporation continues to exist even if one or more owners cease to be owners.
C) Corporations usually are not as well positioned as proprietorships and partnerships to raise large sums of financial capital.
D) Separation of ownership and control is a disadvantage of the corporate structure; owners and managers may have different incentives.
C
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In the above figure, the economy is at point A. Then the price level falls to 90 while the money wage rate does not change. Firms will be willing to supply output equal to
A) less than $16.0 trillion. B) $16.0 trillion. C) more than $16.0 trillion. D) Without more information, it is impossible to determine which of the above answers is correct.
How is the efficient quantity of public goods determined?
What will be an ideal response?