Define the corporate form of organization


Response to the following:

Of the following statements, which are true for the corporate form of organization?

1. Owners are not agents of the corporation.

2. It is a separate legal entity.

3. It has a limited life.

4. Capital is more easily accumulated than with most other forms of organization.

5. Corporate income that is distributed to shareholders is usually taxed twice.

6. Owners have unlimited liability for corporate debts.

7. Ownership rights cannot be easily transferred.

 

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Accounting Basics: Define the corporate form of organization
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