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Which form of business organization is established as a separate legal entity? multiple choice sole proprietorship partnership corporation none of these

Sagot :

Business organization that is established as a separate legal entity is the corporation.

A corporation is a business organization which is  established by a group of people. The founders of the corporation combine their resources to start the business with motive of profit.  As a form of business ownership,  a corporation is a separate and distinct entity from the founders.

After registration, a corporation acquires the right to engage in business transactions, get its own properties, hiring of  employees, acquire assets, and incur debts.

The corporation is always treated as a legal person. The law protects the properties of shareholders from being interfered with should the corporation fail to protect its obligations.

To know more about corporations here:

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