Identify which of the following statements is true.

Question

Quizplus · Accepted Answer

A limited liability company (LLC) is indeed a form of business entity that combines the legal benefits of the corporate form (such as limited liability) with the tax benefits of the partnership form (such as pass-through taxation). Option B is false because a partnership can also be "publicly traded" if its interests are traded on the over-the-counter (OTC) market, which is not an established securities exchange. Option C is also false because when a partnership is divided into two or more new partnerships, the resulting partnerships may or may not be considered new partnerships depending on various factors, such as whether there has been a liquidation or whether the partners have changed.

Identify Which of the Following Statements Is True