The most common organizational form used by public accounting firms is
A)sole proprietorship or partnership.
B)professional corporation.
C)corporation.
D)co-operative.

Question

Quizplus · Accepted Answer

The most common form used by public accounting firms is a sole proprietorship or partnership because it allows for shared decision-making and flexibility in management. This also allows for easier sharing of profits amongst partners. Professional corporations are also used but are less common. Corporations are not as common because they are more expensive to form and have stricter requirements for ownership and management. Co-operatives are rarely used in the public accounting industry.

The Most Common Organizational Form Used by Public Accounting Firms