Knowee
Questions
Features
Study Tools

Select all that applyIdentify the forms of business that are the least attractive for raising capital, primarily owing to the problem of personal liability. (Check all that apply.)Multiple select question.An S corporationA proprietorshipA partnershipA corporation

Question

Select all that applyIdentify the forms of business that are the least attractive for raising capital, primarily owing to the problem of personal liability. (Check all that apply.)Multiple select question.An S corporationA proprietorshipA partnershipA corporation

🧐 Not the exact question you are looking for?Go ask a question

Solution

A proprietorship and a partnership are the least attractive forms of business for raising capital, primarily owing to the problem of personal liability. In both these forms, the owners are personally liable for the debts and obligations of the business. This means that their personal assets can be used to pay off the business debts, which is a significant risk. On the other hand, an S corporation and a corporation provide limited liability protection, which makes them more attractive for raising capital.

This problem has been solved

Similar Questions

Select all that applyWhat are the factors that form the basis of the ability of entrepreneurs to raise capital in a proprietorship and a partnership? (Check all that apply.)Multiple select question.The success of the ventureThe personal capability of the entrepreneursThe gender ratio of limited partnersThe financial strength of stockholders

Select all that applyA company can potentially increase its return on investment (ROI) by Blank______. Multiple select question.investing in operating assetsreducing operating expensesborrowing additional fundsincreasing sales

Multiple Select QuestionSelect all that applyFirms can acquire capital in which of the following ways?Multiple select question.Purchasing it themselvesLeasing it from householdsAccumulating it from taxesCreating it from scratch

Select all that applyIdentify the advantages of a limited liability company (LLC) over an S corporation. (Check all that apply.)Multiple select question.It can be formed by one or more individuals, corporations, partnerships, trusts, or other entities.Its owners are paid as employees of the company, and they are allowed to participate in all employee benefits.Its members are allowed to share income, profit, expense, deduction, loss and credit, and equity among themselves.It typically extends liability beyond a member's capital contribution to the business.

Government and nonprofit accounting involves working for organizations whose purpose is to serve ______. (Select all that apply)Multiple select question.partnersratepayerstaxpayersstockholders

1/3

Upgrade your grade with Knowee

Get personalized homework help. Review tough concepts in more detail, or go deeper into your topic by exploring other relevant questions.