A business organized as a corporation

Question

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A corporation is a legal entity that is separate from its shareholders, meaning that it can own property, enter into contracts, and engage in business activities on its own. However, it is ultimately owned by its shareholders who have the power to elect the board of directors and make major business decisions. Shareholders are not personally liable for the debts of the business, which is one of the key advantages of organizing as a corporation. The corporation can continue to exist even if one of its shareholders dies or sells their shares.

A Business Organized as a Corporation