Discussion Questions

Please respond to the following questions. They will help you understand the chapter better

1. Can a company’s legal form of organization be changed? Explain your answer.

2. What does “unlimited liability” mean, and what type of business owners have unlimited liability?

3. What legal form is most conducive to a company successfully obtaining debt or equity financing, and why?

4. What are th different ways an owner of a for-profit business might be compensated?

5. What are the major factors that determine the amount of taxes an individual business owner will pay as a result of owning his business?

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