Questions and answers for exam Preparation

MCQs

Total Questions : 932 | Page 89 of 94 pages

Question 881. Double taxation is a disadvantage of which business organization ?

Sole proprietorship
Partnership
Corporation
Enterprise

Discuss Question

Answer: Option C. -> Corporation
NO EXPLANATION IS AVAILABLE FOR THIS QUESTION!

Question 882. Which is true about partnership ?

It has a perpetual life
It will be dissolved if one of the partners ceases to be connected with the partnership
It can be handed down from one generation of partners to another
Its capitalization must be equal for each partner

Discuss Question

Answer: Option C. -> It can be handed down from one generation of partners to another
NO EXPLANATION IS AVAILABLE FOR THIS QUESTION!

Question 883. Which is true about corporation ?

It is worse type of business organization
The minimum number of incorporators to start a corporation is three
Its life is dependent on the lives of the incorporators
The stock holders of the corporation are only liable to the extent of their investments

Discuss Question

Answer: Option D. -> The stock holders of the corporation are only liable to the extent of their investments
NO EXPLANATION IS AVAILABLE FOR THIS QUESTION!

Question 884. An association of two or more persons for the purpose of engaging into a business for profit is called ____________________?

Entrepreneurship
Partnership
Proprietorship
Corporation

Discuss Question

Answer: Option B. -> Partnership
NO EXPLANATION IS AVAILABLE FOR THIS QUESTION!

Question 885. Aggregation of individuals formed for the purpose of conducting a business and recognized by law as a fictitious person is called ________________________?

Partnership
Investors
Corporation
Stockholders

Discuss Question

Answer: Option C. -> Corporation
NO EXPLANATION IS AVAILABLE FOR THIS QUESTION!

Question 886. What refers to the residual value of a company’s assets after all outside liabilities (shareholders excluded) have been allowed for ?