7. Chip and Charlie own a local pizza shop. The pizza was the talk of the neighborhood. When customers suggested that they open more stores, Chip and Charlie were hesitant. They didn't have the money. Chip and Charlie went ahead with plans to open another shop across town. To finance the venture, the partners formed a private corporation and sold shares of stock to friends. They chose a legal arrangement that allowed them to avoid dual taxation. 8. James owns part of a business. He purchased several hundred shares of stock in a large, nationally recognized steel company. Several thousand other people own stock in the company too. Each year, all the shareholders receive a detailed report about the nancial activities of the company