16. Which of the following statements about partnerships are true?

	A.	Partnerships afford their owners a liability shield against claims from third parties.
	B.	For tax purposes, partnerships are pass through entities.
	C.	Absent an agreement to the contrary partnerships do not survive the death of one of the partners.
	D.	Partnerships are relatively easy to form.

17.The Securities and Exchange Commission holds primary responsibility for which of the following. Check all that apply.

	A.	Determining the offering price for shares in an initial public offering of stock.
	B.	Enforcing federal securities laws.
	C.	Enforcing state securities laws.
	D.	Proposing federal securities rules .
	E.	Regulating the securities industry , the nation's stock and options exchanges, and other activities and organizations, including electronic securities markets in the United States.
	F.	Counseling investors as to the desirability of public stock offerings.

18. Select the best phrase to complete the following:

Delaware's Chancery Court

	A.	has exclusive jurisdiction to hear corporate law questions in the United States.
	B.	is one of the primary disadvantages of incorporating in Delaware.
	C.	is a specialized business court with judges who are expert in corporate law.
	D.	has jurisdiction over federal bankruptcy matters.

19. Which of the following factors will a court consider in determining whether a partnership exists?

	A.	The qualifications of the parties to conduct the business of the partnership.
	B.	Whether the parties intend to make a profit.
	C.	Whether the parties are involved in the management of the business.
	D.	Whether there are independent outside investors in the business.
	E.	How the parties divide profits and losses deriving from the business.
	F.	Whether the business has actually earned a profit.
	G.	Whether the business conducts activities in more than one jurisdiction.
	H.	Whether there is a partnership agreement.

20.Select the statement concerning limited liability companies that is most complete and accurate.

	A.	Limited liability companies are typically taxed at the entity level.
	B.	Limited liability companies offer liability protection for owners and managers from debts of the company.
	C.	Limited liability companies offer liability protection for owners and managers from debts of the company. Limited liability companies also offer pass through tax treatment.
	D.	Limited liability companies offer liability protection for owners but not for managers from debts of the company.