A few years back,your three U.S.born friends that live in the State of Wyoming inherited a dude ranch that they plan to turn into a retirement haven for race horses.Peaceful Pastures wants to open its doors by spring,2011.After attending several small business seminars,the three friends are certain they need limited liability.The high-risk,labor-intensive business will require a sizeable investment including an air-conditioned barn,several fenced-in pastures and loads of animal feed.You recently heard that one form of business ownership requires owners to pay self-employment taxes on the entire amount of earnings.You are fairly certain this is one tax loophole your friends would like to avoid.You recommend:
A)Sole Proprietorship
B)General Partnership
C)Limited Liability Company
D)S-Corporation

Question

Quizplus · Accepted Answer

The Answer of A few years back,your three U.S.born friends that live in the State of Wyoming inherited a dude ranch that they plan to turn into a retirement haven for race horses.Peaceful Pastures wants to open its doors by spring,2011.After attending several small business seminars,the three friends are certain they need limited liability.The high-risk,labor-intensive business will require a sizeable investment including an air-conditioned barn,several fenced-in pastures and loads of animal feed.You recently heard that one form of business ownership requires owners to pay self-employment taxes on the entire amount of earnings.You are fairly certain this is one tax loophole your friends would like to avoid.You recommend:
A)Sole Proprietorship
B)General Partnership
C)Limited Liability Company
D)S-Corporation

A Few Years Back,your Three U