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What Is One of the Drawbacks of Switching from a Partnership

Question 61

Multiple Choice

What is one of the drawbacks of switching from a partnership to the corporate form of organization?


A) It subjects the firm to additional regulations.
B) It makes it more difficult for the firm to raise additional capital.
C) It makes the firm's investors subject to greater potential personal liabilities.
D) It makes it more difficult for the firm's investors to transfer their ownership interests.

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