23. Which of the following statements is correct? a. A major disadvantage of a regular partnership or a corporation as a form of business is the fact that th ey do not offer their owners limited liability, whereas proprietorships do ny businesses is the fact that the corporate tax rate always prietorships and partnerships are taxed b. An advantage of the corporate form for ma exceeds the personal tax rate, which is the rate at which pro here are more partnerships and sole proprietorships than co corporations produce more goods and services than do other forms of busi c. T tions in the U.S., but ness. Because corporations enjoy the benefits of limited liability, interest, unlimited life, and favorable tax status relative to the situation for proprietorships, most large businesses choose to incorporate. easy transferability of ownership ips and pa word processors for drawing the necessary papers), it is less expensive to form a corporation than to form a propriup partnership e. Because lawyers have the incorporation process so automated (e.g., word p or answer 4. Compare and critique the following financial ratios for a company with the industry ratios. Your Industry 1.70x should be one or two sentences each for the ratios. Company 1.25x Quick ratio 3-55X 2.90x Fixed assets turnover 57.00% Debt ratio 50.5% 1.00x 5.00x Price to Earnings