Fact Pattern 43-B1
Jordan and Kacy own and operate Safety Tables,a small-business enterprise that sells adjustable tables that allow workers to safely work with large,heavy,or oddly shaped objects.The enterprise does not pay taxes on its profits,but distributes them to Jordan and Kacy who pay taxes on these amounts as their individual income.Jordan and Kacy's personal liability for Safety Tables's debts and obligations is limited.
-Refer to Fact Pattern 43-B1.Safety Tables is

Question

Fact Pattern 43-B1 
Jordan and Kacy own and operate Safety Tables,a small-business enterprise that sells adjustable tables that allow workers to safely work with large,heavy,or oddly shaped objects.The enterprise does not pay taxes on its profits,but distributes them to Jordan and Kacy who pay taxes on these amounts as their individual income.Jordan and Kacy's personal liability for Safety Tables's debts and obligations is limited.
-Refer to Fact Pattern 43-B1.Safety Tables is

Quizplus · Accepted Answer

Safety Tables has limited liability for its owners, which suggests that it is not a sole proprietorship or general partnership. The fact that it distributes profits to its owners suggests that it is not a corporation. Therefore, the best choice is a limited liability company (LLC), which offers both limited liability for its owners and pass-through taxation, allowing profits and losses to flow through to the owners' personal tax returns.