Which of the following is true regarding the corporate form of business organization?

A) Corporations are the most prevalent form of business organization.
B) Corporate businesses are generally smaller in size than partnerships and proprietor-ships.
C) The revenues of corporations are greater than the combined revenues of partnerships and proprietorships.
D) Corporations are separate legal entities organized exclusively under federal law.

Corporate Form

A business structure where the entity is distinct from its owners, providing limited liability protection, ease of transferring ownership, and potential for growth.

Legal Entities

Organizations that have legal rights and obligations, including the capacity to enter into contracts and own property, distinct from their members.

Partnerships

A legal arrangement where two or more individuals share ownership of a business, including its profits, losses, and responsibilities.