Chapter ti Qulz 4 For a business to be considered a corporat

Chapter ti Qulz 4. For a business to be considered a corporation O tt must pay anidenas. O its stock must be sold in very large amounts O it must be organized as a separate legal entihy O ix must issue both common and pretemea stock

Solution

Separate legal entity is legally different from its owners. It has its own, rights, duties and obligations. Acts done by corporation are not personally liable to shareholders.

Hence, correct option is “it must be organized as a separate legal entity”