Compared to partnerships and sole proprietorships,a major advantage of a public corporation as a form of business ownership is that it:
A)has the ability to raise more money.
B)is easier and less expensive to form.
C)qualifies for simplified tax treatment.
D)creates unlimited liability of owners.

Question

Quizplus · Accepted Answer

Public corporations have the ability to raise more money because they can issue stocks and bonds to the public. Partnerships and sole proprietorships, on the other hand, are limited to the amount of money their owners can invest or borrow.

Compared to Partnerships and Sole Proprietorships,a Major Advantage of a Public