Question

A corporation is a distinct ______ entity and as such can have a name and take advantage of the legal powers of natural persons

Answer 1

Legal

Step-by-step explanation:

A corporation is a business that is owned by shareholders. The corporation is a separate legal entity and so it can sue and be sued, pay taxes and own assets.

Advantages of a corporation include :

1. they have unlimited liabilities
2. they have unlimited life. the business doesn't end even after the death of the owners unlike a sole proprietorship
3. they have more access to capital

Disadvantages of a corporation include :

high cost of setting up

Earnings to shareholders are taxed twice