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28-08-2020
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Which characteristic of a corporation is a disadvantage? A. Mutual agency B. Double taxation C. Limited liability D. None are disadvantages.

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28-08-2020

Answer:

B. Double Taxation

Explanation:

A disadvantage of forming a corporation is the double taxation requirement. C corporations pay taxes on profits when corporate income is distributed to owners in the form of dividends. This is the first taxation.

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