NBE Funeral Service Director

Answer: B - A corporation is an entity established to meet the needs of its shareholders.

Corporations are formed as legal entities that issue shares to individual owners known as shareholders. The purpose therefore of a corporation is to meet the needs of their owners, which are the shareholders. Limited partnerships are formed by two or more persons whose liability is limited to the extent of their ownership but are not involved in the day-to-day management of the organization. A general partnership is one where the partners share in the day-to-day management and whose liability is not limited. A proprietorship is an unincorporated business form under which the owner, an individual, assumes all legal liabilities.