Question

Debby told you she picked an ownership structure that allows her business to borrow money, buy and sell property, and sign binding contracts. She is also not personally liable for business debts. The possible form(s) of business ownership she used are: a. LLC b. Corporation c. Partnership d. Sole proprietorship

Answer 1

Answer:

The correct answers is letters "A" and "B": LLC; Corporation.

Explanation:

Limited Liability Companies (LLCs) are businesses in the U.S. where owners do not share liabilities for the firm's operations. Though, taxes are passed to owners who file them in their tax returns. Corporations, as well, separate the entity from its owners, thus, they are not responsible for the entity's liabilities if it defaults. Corporate owners can borrow funds from the corporation, trade the property, and sign binding contracts.