Compared to partnerships and sole proprietorships, a major advantage of the conventional (C) corporation as a form of business ownership is that it
A) has the ability to raise more money.
B) is easier and less expensive to form.
C) qualifies for simplified tax treatment.
D) creates unlimited liability for its owners.

Question

Quizplus · Accepted Answer

A major advantage of the conventional (C) corporation as a form of business ownership is its ability to raise more money. Unlike sole proprietorships and partnerships, corporations can sell shares of ownership to investors, allowing for greater access to capital.

Compared to Partnerships and Sole Proprietorships, a Major Advantage of the Conventional