Dirk Ranch is a good mechanic. He has worked for Goodyear for 20 years and saved up $100,000. He decides to open his own mechanics shop, Dirk the Wrenchman, Inc., and invests $50,000 of his savings into the new business to pay for new tools, a hoist, supplies and other equipment, leaving $10,000 in the company's checking account for initial operating expenses. He chose the corporate form because he wanted to protect himself from personal liability if the company gets sued. He opens his shop and starts doing auto repairs. One day he is working on the brakes for Richie Rich's Mercedes. He's almost done when the phone rings. He leaves what he's doing to answer the phone. Turns out it just some person impersonating and pretending to be from the Social Security Administration, and asking for his SSN and other information. He knows not to fall for that trick, hangs up the phone, goes back to the car, drops it down off the hoist, and calls Mr. Rich to tell him the car is done. Rich picks up the car and drives off. A month later, Dirk is served with a summons. Richie Rich is suing both him and Dirk the Wrenchman, Inc. for $500,000 because of an accident that occurred when the wheel fell off the Mercedes after Mr. Rich drove awayapparently Dirk forgot to finish tightening the lug nuts before he took the car off the hoist. Who is liable?

Group of answer choices

Dirk the Wrenchman, Inc.

Dirk Ranch

Both Dirk Ranch and Dirk the Wrenchman, Inc.

Neither, as Dirk did not provide a warranty.