1. All of the following are factors that contribute to the business entity selection process EXCEPT: Reporting requirements and taxation. Ease and cost of formation. Complexity of management and governance. All of the above are factors that should be considered. Flag this Question Question 2 1 pts Which of the following is not a business entity type used in the United States? C Corporation. Family Limited Partnerships. Family Proprietorship. S Corporation. Flag this Question Question 3 1 pts Which of the following is an advantage of a sole proprietorship? Ease to sell business assets. Limited liability. Business income is not subject to self-employment tax. All of the above. Flag this Question Question 4 1 pts Which of the following is a special type of business entity created under state law with the primary purpose of transferring assets to younger generations? Limited Liability Company (LLC). Family Limited Partnership (FLP). Sole Proprietorship. None of the above. Flag this Question Question 5 1 pts What is the charter document used in the formation of LLCs? By-laws. Articles of Organization. Organizational mission statement. Articles of incorporation. Flag this Question Question 6 1 pts Which of the following is true of C Corporations? A C Corporation is not allowed to take a tax deduction for dividends distributed to shareholders. The owners compensation is considered to be self-employment income. Difficult and time consuming to transfer ownership interests. All of the above are true regarding C Corporations. Flag this Question Question 7 1 pts Which, if any, of the following statements is (are) correct? 1 C corporations have unlimited liability. 2 Sole proprietorships offer limited liability. 1 only. 2 only. Both 1 and 2. Neither 1 nor 2. Flag this Question Question 8 1 pts Which of the following is true of limited liability companies (LLCs)? Capital is easier to raise than in a proprietorship. Can have different classes of ownership interests, which have different rights. Unless stated otherwise, individual owners are protected from personal liability for the organizations debts and obligations. All of the above. Flag this Question Question 9 1 pts All of the following are true EXCEPT: Both S and C Corporations are taxed at the corporate level, and are therefore, subject to double taxation. S Corporations can only have one class of stock. An LLC with two or more members can elect to be taxed for federal income tax purposes as a partnership, S corporation, or a C corporation. None of the above are correct. Flag this Question Question 10 1 pts Which, if any, of the following statements is (are) correct? 1 C corporations require a registered agent and a federal tax ID number. 2 LLPs are generally owned by licensed professionals. 1 only. 2 only. Both 1 and 2. Neither 1 nor 2.