Which sentences describe the characteristics of a corporation?

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Question:

Which sentences describe the characteristics of a corporation?

A.)The company is treated as a separate tax entity by law.
B.)The owners have to accept partial liability for debts.
C.)It is possible to raise large amounts of capital by selling company stock.
D.)The owners are known as corporators.
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Answer:

The correct options are A, and C which best describe the characteristics of a corporation. Selling business stock allows for the large-scale raising of funds; *the corporation is legally treated as a separate tax entity.

Write some characteristics of a corporation?

A corporation’s primary attributes are limited liability, shareholder ownership, Ease of capital acquisition, double taxation, an ongoing existence, and, in most circumstances, professional management.

Thus, The company is treated as a separate tax entity by law and It is possible to raise large amounts of capital by selling company stock that describes the primary attribute of the corporation.

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