Question

What are the main advantages and disadvantages of organizing a firm as a​ corporation? the advantages​ are: ​(select all the choices that​ apply.)
a. there is no limit on the number of owners a corporation may​ have, thus allowing the corporation to raise substantial amounts of capital.
b. the life of the business can continue beyond the death of any of the owners.
c. the corporation can use the assets of the owners to pay for corporate liabilities. this attr?

Answer 1

I believe the answers are:

a. there is no limit on the number of owners a corporation may​ have, thus allowing the corporation to raise substantial amounts of capital.

They do this by selling shares on the stock market. When the shares is sold in this place, every individuals who can afford the price of  a single share are eligible to be part owner of the corporation.

b. the life of the business can continue beyond the death of any of the owners.

In corporations, when one of the owners somehow died, the ownership of the corporations would be transferred to the person whould receive the inheritence (usually immdediate family members)

c. the corporation can use the assets of the owners to pay for corporate liabilities.

This happen during the liquidation process. To pay for corporate liabilities, owners had to sell their assets with the equal value of their percentage of their ownership times the amount of liabilities.