10. A corporation and a limited liability company are the same in all of the following except:

A) Easily transfer ownership

B) Limited Liability to the owners

C) Double Taxation

D) Filed with the state

11. Which government office do companies file LLC paperwork?

A) Court Clerk

B) Corporation Commission

C) Secretary of State

D) Governors Office

12. Which of the following goals of the firm are synonymous (equivalent) to the maximization of shareholder wealth?

A) Profit Maximization

B) Risk Minimization

C) Maximization of the total market value of the firms common stock

D) None of the above

13. Which of the following statements below are true?

A) The sole proprietorship and the general partnership both feature unlimited liability.

B) A corporation is the business form that is typically the most complicated (legally) to establish.

C) The corporation and the limited partnership both provide at least some owners with limited liability.

D) All of the above

16. _________________ involves accounting for the effort of an economic activity, or transaction, on an entity when the activity occurred, rather than when the cash receipt or payment takes place.

A) Accrual Accounting

B) Cost Accounting

C) Cash Accounting

D) None of the Above

17. As it relates to financial reporting, which of the following is NOT required of an accounting entity?

A) A financial statement presenting the amount that the entity expects to earn next year.

B) A financial statement presenting the financial position of the entity at a point in time.

C) A financial statement presenting the results of the entitys operations for a period of time.

D) A financial statement summarizing the entitys cash flow for a period of time.

23. All firms within an industry are required to provide information in the exact same format so that each firm can be compared to the other.

TRUE or FALSE