A major disadvantage of a corporation is the
a. difficulty in transferring ownership.
b. limited life.
c. difficulty in raising capital.
d. double taxation of the corporation s income and of dividends paid to shareholders.

Question

23-09-2015
Chemistry

contestada

A major disadvantage of a corporation is the
a. difficulty in transferring ownership.
b. limited life.
c. difficulty in raising capital.
d. double taxation of the corporation s income and of dividends paid to shareholders.

Respuesta :

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taskmasters taskmasters · Answer 1 · 2015-09-26T08:02:52+02:00

A major disadvantage of a corporation is the double taxation of the corporation's income and of dividends paid to shareholders.
Corporations end up paying taxes twice. The corporation pays tax when it shows a profit. Secondly the corporation pays tax when it pays out dividends to its shareholders. Sole proprietorships and partnerships are taxed as owners of the business. The owners of a corporation are taxed individually from the corporation. The advantage of this is that the owners of a corporation are not taxed on the corporation's profit.

A major disadvantage of a corporation is the a. difficulty in transferring ownership. b. limited life. c. difficulty in raising capital. d. double taxation of the corporation s income and of dividends paid to shareholders.

Respuesta :

Otras preguntas

A major disadvantage of a corporation is the
a. difficulty in transferring ownership.
b. limited life.
c. difficulty in raising capital.
d. double taxation of the corporation s income and of dividends paid to shareholders.