Which of the following is true of a limited liability company (LLC)?

Question

Quizplus · Accepted Answer

An LLC with only one owner is permitted in some states, making it a flexible option for small business owners who want to limit their personal liability. The other options are incorrect: A is incorrect because LLCs are a relatively new business structure; B is incorrect because LLCs actually provide a lot of management flexibility; C is incorrect because membership of LLCs can also include corporations and other entities; and E is incorrect because banks and insurance companies are typically structured as corporations.

Which of the Following Is True of a Limited Liability