Which is a disadvantage of a corporation?
A)Limited liability for owners
B)Easy transfer of ownership
C)Ease in raising ownership capital from potential stockholders
D)Management's consumption of perquisites
E)Continuity of existence

Question

Quizplus · Accepted Answer

Management's consumption of perquisites refers to the tendency of corporate executives to use company funds for personal benefit, such as expensive vacations or luxury cars. This can be seen as a disadvantage because it takes away from the company's profits and can be viewed negatively by shareholders and the public.

Which Is a Disadvantage of a Corporation