Final answer:
Corporations have advantages such as raising capital and limited liability for owners, and disadvantages including regulation and startup costs. Directors owe a fiduciary duty to shareholders, ensuring responsible company management. 'Balance of Convenience' is not a term typically used in corporate discussions.
Step-by-step explanation:
The advantages and disadvantages of corporations include various factors. On the advantage side, corporations can raise significant amounts of capital, limit the liability of their owners, and have a perpetual existence independent of the individual owners. Disadvantages include heavy regulation, significant tax burdens, the fact that shareholders often have limited say in operations, and the high initial costs of formation.
Directors of a corporation have a fiduciary duty to act in the best interest of the corporation and its shareholders. This duty matters because it helps ensure that directors are managing the company responsibly and not for their personal benefit, thus safeguarding the shareholders' investment and maintaining trust in the corporate system.
The term "Balance of Convenience" is not commonly associated with corporations and may instead refer to legal standards in different contexts or fields, such as law.