1. Home
  2. Flashcards
  3. Preview

Chapter 27

  1. A limited liability company offers the tax advantages of a partnership.

    True or False
    True
  2. Forming a limited liability company (LLC) requires filing articles of organization in a federal LLC office.

    True or False
    False
  3. A limited liability company is regarded as a citizen of every state

    True or False
    False
  4. In some states, in the absence of an agreement to the contrary, each member of a limited liability company has one vote.

    True or False
    True
  5. The participants in a joint venture have the same power as partners in a partnership to manage the activities of the enterprise

    True or False
    True
  6. Joint Venture
    A joint undertaking of a specific commercial enterprise by an association of persons. A joint venture normally is not a legal entity and is treated like a partnership or federal income tax purposes.
  7. A syndicate is also known as an "investment group"

    True or False
    True
  8. Members of an incorporated cooperative have limited liability.

    True or False
    True
  9. Syndicate
    An investment group of persons or films brought together for the purpose of financing a project that they would not or could not undertake independently.
  10. There is considerable variation among state corporation laws.

    True or False
    True
  11. Joint Stock Company
    A hybrid form of business organization that combines characteristics of a corporation and a partnership. Usually, a joint stock company is regarded as a partnership for tax and other legal purposes.
  12. Business Trust
    A form of business organization in which investors (trust beneficiaries) transfer cash or property to trustees in exchange for trust certificates that represent their investment shares. The certificate holders share in the trust's profits but have limited liability.
  13. Cooperative
    An association, which may or may not be incorporated, that is organized to provide an economic service to its member. Unincorporated cooperatives are often treated like partnerships for tax and other legal purposes. Examples o cooperative include consumer purchasing cooperatives, credit cooperatives, and farmers's cooperative.
Author
luissantan06
ID
52336
Card Set
Chapter 27
Description
Chapter 27
Updated

  1. Home
  2. Flashcards
  3. Preview