Which of the following is correct with regard to cooperatives?
Cooperatives are not allowed to deduct patronage refunds to members out of before-tax income.
Members have an incentive to invest in equity capital of the co-operative.
Voting and financial control of the cooperative is typically held by a few wealthy individuals.
Double taxation affects cooperatives more negatively than corporations.
The democratic voting arrangements and dividends based purely on patronage discourage some entrepreneurs from forming or joining a co-operative.

Question

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The Answer of Which of the following is correct with regard to cooperatives?
Cooperatives are not allowed to deduct patronage refunds to members out of before-tax income.
Members have an incentive to invest in equity capital of the co-operative.
Voting and financial control of the cooperative is typically held by a few wealthy individuals.
Double taxation affects cooperatives more negatively than corporations.
The democratic voting arrangements and dividends based purely on patronage discourage some entrepreneurs from forming or joining a co-operative.

Which of the Following Is Correct with Regard to Cooperatives