Limited liability is a key advantage of partnerships and sole proprietorships over corporations.
Answer the following statement true (T) or false (F)
False
The liability of both sole proprietorships and partnerships is unlimited; this is not the case for corporations.
You might also like to view...
The demand curve for a perfectly competitive firm is ________, while the demand curve for a monopolist is ________.
A. perfectly inelastic; perfectly elastic B. perfectly elastic; downward-sloping C. vertical; downward-sloping D. perfectly elastic; perfectly inelastic
The above figure shows a motel engaged in monopolistic competition with other motels. The equilibrium quantity at this motel is ________ rooms per day
A) 200 B) 300 C) 400 D) 500 E) 100
Making optimal decisions "at the margin" requires
A) making consistently irrational decisions. B) weighing the costs and benefits of a decision before deciding if it should be pursued. C) making decisions according to one's whims and fancies. D) making borderline decisions.
All of the following are ways that the government can correct for positive externalities EXCEPT
A) by subsidizing the consumption of the good. B) producing the good itself. C) by regulation. D) by assessing an effluent fee.