Which statement is TRUE?
A) Shareholders are likely to suffer consequences when a corporation loses a lawsuit.
B) Shareholders are not likely to suffer consequences when a corporation loses a lawsuit.
C) Partners are not likely to suffer consequences when a partnership loses a lawsuit.
D) A sole proprietor is not likely to suffer consequences when his or her company loses a lawsuit.

Question

Quizplus · Accepted Answer

Shareholders are partial owners of a corporation and may suffer consequences, such as a decrease in stock value or potential litigation costs, when a corporation loses a lawsuit.

Which Statement Is TRUE