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QUESTION 3 Name one advantage and one disadvantage of the corporate organizational structure? Select all of the choices that apply. There might be more than

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QUESTION 3 Name one advantage and one disadvantage of the corporate organizational structure? Select all of the choices that apply. There might be more than one correct answer. Incorrect answers will have a NEGATIVE SCORE. So only choose the choices you are sure off! A One disadvantage of the corporate organizational form is that it restricts the number of investors that share in the risk of the corporation, thus requiring firms to seek their capital from banks. B. One advantage of the corporate organizational form is that it allows those who have the capital to fund an enterprise to be different from those who have the expertise to manage the enterprise. This critical separation allows a wide class of investors to share the risk of the enterprise One disadvantage of the corporate organizational structure is that the separation between ownership and management comes at a cost- the managers will act in their own best interests, not in the best interests of the shareholders who own the firm. D. One advantage of the corporate organizational structure is that shareholder and management interests are closely aligned thus ensuring that management acts in the best interest of the shareholders

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