QUESTION 13

1. One advantage of the limited liability company form, with respect to tax options, is

   	a.	that it has limited legal liability.
   	b.	that it can be taxed as a partnership or as a corporation.
   	c.	that it has zero tax liability.
   	d.	that it is exempt from tax at the state level.

1.8 points

QUESTION 14

1. Childrens Hospital, Inc. is set up under Section 501(c)(3) of the IRS code and receives preferential tax treatment because of its charitable mission. Childrens Hospital, Inc. is a

   	a.	nonprofit corporation.
   	b.	private corporation.
   	c.	close corporation.
   	d.	publicly-held corporation.

1.8 points

QUESTION 15

1. When an acquiring corporation makes a public offer to all shareholders of a target corporation to purchase their stock, this is called

   	a.	a golden parachute.
   	b.	a buyout notice.
   	c.	a tender offer
   	d.	an acquisition call.

1.8 points