Sign In
Ask Question
Tristan Ray
Social Studies
7 April, 23:40
Advantages and disadvantages of a corporation
+1
Answers (
1
)
Aydan Fox
8 April, 00:02
0
Advantages of Corporations:
- Generally, a corporation's shareholders are not liable for any debts incurred or judgments handed down against the corporation. Shareholders only risk their equity in the corporation.
- Corporations may be able raise additional funds by selling shares in the corporation.
- Corporations may deduct the cost of benefits it provides to employees and officers.
- Some corporations may be able to elect treatment as an S corporation, which exempts them from federal income tax other than tax on certain capital gains and passive income.
Disadvantages of Corporations:
- Forming a corporation requires more time and money than forming other business structures.
- Governmental agencies monitor corporations, which may result in added paperwork.
- Corporate profits may be subject to higher overall taxes since the government taxes profits at the corporate level and again at the individual level, if such profits are distributed to the shareholders. Furthermore, a corporation may not deduce from its business income any dividends it pays to its shareholders.
Comment
Complaint
Link
Know the Answer?
Answer
Not Sure About the Answer?
Find an answer to your question 👍
“Advantages and disadvantages of a corporation ...”
in 📗 Social Studies if the answers seem to be not correct or there’s no answer. Try a smart search to find answers to similar questions.
Search for Other Answers
You Might be Interested in
As they walked through the haunted house, every room heightened their fear and anxiety. The walls of one room moved to close in around them, while in another they had to lie in coffins, which then opened up beneath them.
Answers (1)
Despite its apparent durability, the dermis is subject to tearing. how might a person know that the dermis has been previously stretched and/or torn
Answers (1)
Why are olives such an important crop?
Answers (2)
Biologically based differences in emotions, activity level, and self-regulation: originate with child-rearing practices. are referred to as personality. are predisposed by environmental situations. are referred to as temperament.
Answers (1)
9. Which has a neutral charge? A an electron B a proton C a molecule D an ion
Answers (2)
New Questions in Social Studies
Location-based attention is when attention is divided across two or more tasks simultaneously. attention affects an entire object, even if it is occluded by other objects. the enhancing effect of attention spreads throughout an object.
Answers (1)
How did the Roman government maintain control over conquered territories?
Answers (1)
President Abraham Lincoln's suspension of habeas corpus and President Franklin D. Roosevelt's executive order forcing Japanese Americans into internment camps both demonstrate that
Answers (1)
Birds have been reclassified as reptiles. what is one line of evidence that has led to this reclassification?
Answers (2)
Why were unions not popular in the united states in the late 1800s
Answers (1)
Home
»
Social Studies
» Advantages and disadvantages of a corporation
Sign In
Sign Up
Forgot Password?