Asked by Jacob Corpening on May 23, 2024
Verified
A corporation is a type of business firm where the debt of the firm is considered its owners' personal responsibility.
Corporation
A legal entity (“person”) chartered by a state or the federal government that is distinct and separate from the individuals who own it.
Personal Responsibility
The idea that an individual is accountable for their actions and wellbeing, including making decisions that affect their life and those around them.
- Identify the distinguishing features and advantages of different business structures, including corporations.
Verified Answer
ZA
Zachary AndersonMay 23, 2024
Final Answer :
False
Explanation :
In a corporation, the owners (shareholders) have limited liability, meaning they are not personally responsible for the debts of the corporation.
Learning Objectives
- Identify the distinguishing features and advantages of different business structures, including corporations.