Question

Which of the following is an advantage of the corporation form of business? It separates business ownership from personal assets, encouraging investment in the business. It’s smaller and reacts faster to market conditions. It’s owned by people who are personally liable for business debts. It’s owned by one person, avoiding disagreements in management.

Answer 1

it separates business ownership from personal assets, encouraging investment in the business

Answer 2

Answer:

It separates business ownership from the personal assets, encouraging investment in the business is the correct answer.

Explanation:

A Corporation is a business organisation which is authorised by the states to act as single entity and is recognised in law for such proposes. Earlier they were established by charters. Now a days they are established with registration. It is controlled and owned by its members.In  this form of business the owners personal assets are protected  as when the business incorporates, its owners get the limited liability protection against the company's obligations and debts and it is a major advantage of corporation form of business.