Question

Tucker works for a retail distribution company that was recently started. Tucker has invested a lot of his earnings into shares of the company. When quarterly earnings are posted, Tucker receives a check for 8% of the quarterly profit of the company. Tucker belongs to a __________ corporation

Answer 1

Tucker is involved with a corporation where he owns shares and receives dividends as a part of the profit; likely a private corporation.

Step-by-step explanation:

Tucker is involved with a corporation, which is a business owned by shareholders. These shareholders have limited liability for the company's debts but share in the company's profits, and they may receive dividends as a direct payment from the firm. Based on the description that Tucker receives a check for 8% of the quarterly profit, it indicates Tucker is receiving a dividend on his investment. This kind of profit-sharing usually happens in private corporations where shareholders can be part of a profit-sharing plan.