187k views
4 votes
Which of the following is true regarding the corporate form of ownership?

A. All of these

B. Generally has the greatest ability accumulate capital.

C. Separate legal entity in the eyes of the law.

D. Most complex form of ownership.

1 Answer

4 votes

Answer:

A. All of these

Step-by-step explanation:

A corporation can be defined as a corporate organization that has facilities and owns or controls assets used for the production of goods and services in at least one country other than its headquarter (home office) located in its home country.

This ultimately implies that, a corporation is a corporate organization that owns or controls its business in two or more countries. Also, it is a body that comprises of a group of people such as directors, shareholders etc., who act as a single entity.

Generally, a corporate form of ownership is considered to be perpetual in nature.

Corporations can be sold to investors through stocks or shares, as a public entity. Thus, a company that engages in the sales of ownership shares to many investors is referred to as a corporation.

Some examples of multinational firms are Ap-ple, Volkswagen, G-oogle, Shoprite, Nestlé, Accenture, Shell BP, Chevron etc.

On a related note, an owner of a corporation is commonly referred to as a stockholder.

The true statements regarding the corporate form of ownership are;

I. Generally has the greatest ability accumulate capital.

II. Separate legal entity in the eyes of the law.

III. Most complex form of ownership.

User Joleen
by
4.8k points