Which of the following is a characteristic of a corporation?
A)Declaration of a dividend by the stockholders
B)Appointment of officers by the stockholders
C)Transferability of shares of stock
D)Unlimited liability

Question

Quizplus · Accepted Answer

Transferability of shares of stock is a characteristic of a corporation. This means that shares of stock can be bought and sold by investors without affecting the corporation's operations or ownership structure. A, B, and D do not accurately describe characteristics of a corporation. Declaration of a dividend is a decision made by the corporation's board of directors, not the stockholders. Officers are typically appointed by the board of directors, not the stockholders. Corporations have limited liability, not unlimited liability.

Which of the Following Is a Characteristic of a Corporation