Question

Ann and Jack have been partners for several years. Their? firm, A? & J Tax? Preparation, has been very? successful, as the pair agree on most? business-related questions. One? disagreement, however, concerns the legal form of their business. Ann has tried for the past 2 years to get Jack to agree to incorporate. She believes that there is no downside to incorporating and sees only benefits. Jack strongly? disagrees; he thinks that the business should remain a partnership forever. ? First, take? Ann's side, and explain the positive side to incorporating the business. ? Next, take? Jack's side, and state the advantages to remaining a partnership. ? Lastly, what information would you want if you were asked to make the decision for Ann and? Jack?

Which of the following statements are the advantages of a partnership compared to a? corporation????(Choose all that? apply.)

A. Long life of firm.

B. Ownership is readily transferable.

C. Owners have limited liability.

D. Lower income taxes.

E. Less expensive to organize.

Answer 1