17)

Government-owned corporations:

Multiple Choice

• issue stock to their shareholders, who invest in the corporation with the expectation that they will earn a profit.

• are owned by governments and perform governmental and business functions.

• pay income tax only on income over one million dollars.

• issue no stock and expect no profit, but rather provide services to their members without a profit motive.

• are generally close corporations.

18)

Not-for-profit corporations:

Multiple Choice

• issue no stock and expect no profit, but rather provide services to their members without a profit motive.

• are owned by governments and perform governmental and business functions.

• pay income tax only on income over one million dollars.

• issue stock to their shareholders, who invest in the corporation with the expectation that they will earn a profit.

• are generally publicly held corporations.