Which of the following is not a characteristic of the corporate form of business entity?

A) It is a separate legal entity.
B) Owners have unlimited liability.
C) It has an indefinite life span.
D) Owners often are not an active part of management.

Unlimited Liability

A legal structure in which business owners are personally responsible for all the debts of the business.

Corporate Form

A type of business structure where the entity is legally separate from its owners, providing limited liability protection to its shareholders.

Legal Entity

An organization with legal rights and obligations, such as a corporation, partnership, or sole proprietorship.