1- How does the taxation of a corporation differ from that of a sole proprietorship and partnership?(1 point)

• The corporation pays no tax.
• The earnings of shareholders are taxed directly.
• The corporation is taxed, and then shareholders are additionally taxed.
• Taxes are said to pass through the corporation and onto owners.

2- Which of the following business structures is said to have unlimited life?(1 point)

• sole proprietorship
• corporation
• limited partnership
• general partnership

3- Corporations, limited partnerships, and limited liability partnerships differ from sole proprietorships and general partnerships in(1 point)

• lifespan.
• decision-making.
• liability.
• number of owners.

4- Which of the following describes a primary difference between corporations and unincorporated businesses?(1 point)

• The liability of owners is limited.
• Decisions are made by a board of directors.
• Shareholders may have to liquidize assets to cover failures of the corporation.
• Two or more members are required to form a corporation.

5- Sophia and Mia are interested in starting a business venture together. Other firms in the industry face high financial risks and tricky legal requirements that could easily get them into costly trouble. Which of the following would be thewisest choice of business structure for Sophia and Mia to pursue?(1 point)

• limited partnership
• corporation
• sole proprietorship
• general partnership