Question

If a business has both the focus and ability to maximize profits for shareholders, but also seeks after a broader mission without maximizing shareholder profits, what type of business entity is it most likely to be?
a. S Corp
b. LLC
c. B Corp
d. Partnership

Answer 1

Answer:

The correct answer is (c)

Explanation:

Business Corporation is a separate business entity that is controlled by elected group members know as the board of directors. They are responsible for business activities and they usually seek for long term profits. This separate entity is controlled by shareholders. Overall, they aim for a broader mission without maximising shareholders profit. Business corporations usually reinvest dividends and profits to improve and expand.