JAMB Commerce 2022 Objective — Question 21

Question 21 of 40 from the Joint Admissions and Matriculation Board (JAMB) Commerce 2022 Objective paper, with the correct answer and a full explanation.

21. For an incorporated company,

A. (A) raising loans will be more difficult
B. (B) the company cannot be sued
C. (C) the company's property becomes an entity separate from its ownersCorrect
D. (D) its members become liable for all the debts of the company

Explanation

An incorporated company enjoys entity concept, which makes its assets separate from the assets of its owners.

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