Which one of the following statements is correct concerning corporations?
A) The largest firms are usually corporations.
B) The majority of firms are corporations.
C) The stockholders are usually the managers of a corporation.
D) The ability of a corporation to raise capital is quite limited.
E) The income of a corporation is taxed as personal income of the stockholders.

Question

Quizplus · Accepted Answer

Typically, the largest firms are organized as corporations because they offer advantages such as limited liability and ease of raising capital through the issuance of stocks and bonds.

Which One of the Following Statements Is Correct Concerning Corporations