Question

25. Match (by number) the following terms with their definitions. Each letter is used only once.

1. Corporate earnings are taxed twice - at the corporate level and individual stockholder level
2. Has stock traded on a stock exchange such as the New York Stock Exchange (NYSE)
3. Designed to serve as a guide to states in the development of their corporate statutes
4. Stockholders can lose no more than the amount they invest in the company
5. Like an S corporation, but there are no limitations on the number of owners as in an S corporation.
6. Describe (a) the nature of the firm's business activities, (b) the shares to be issued, and (c) the composition of the initial board of directors
7. Allows for legal treatment as a corporation, but tax treatment as a partnership

S Corporation. ____

Limited liability company. ____

Model Business Corporation Act. ____

Publicly held corporation. ____

Double taxation. ____

Articles of Incorporation. ____

Limited liability. ____

Answer 1

	ans
1. Corporate earnings are taxed twice - at the corporate level and individual stockholder level	Double Taxation
2. Has stock traded on a stock exchange such as the New York Stock Exchange (NYSE)	Publicly Held Corporation
3. Designed to serve as a guide to states in the development of their corporate statutes	Model Business Corporation Act
4. Stockholders can lose no more than the amount they invest in the company	Limited Liability
5. Like an S corporation, but there are no limitations on the number of owners as in an S corporation.	Limited Liability Company
6. Describe (a) the nature of the firm's business activities, (b) the shares to be issued, and (c) the composition of the initial board of directors	Articles of Incorporation
7. Allows for legal treatment as a corporation, but tax treatment as a partnership	S Corporation