单选题 Questions 177-180 refer to the following passage.
A limited liability company is the newest form of business organization; gaining popularity in recent years A limited liability company (LL(C) is a type of business ownership combining several features of corporation and-partnership structures But every coin has two sides LLC also have advantages and disadvantages.
{{U}}Advantages:{{/U}}
Limited liability: Owners of an LLC have the liability protection of a corporation Members cannot be held personally liable for debts unless they have signed a personal guarantee.
Flexible profit distribution; Limited liability companies can select varying forms of distribution of profits.
No minutes: the LLC business structure requires no corporate minutes or resolutions and is easier to operate.
Flow through taxation: All the business losses, profits and expenses flow through the company to the individual members People avoid the double taxation of paying corporate tax and individual tax.
{{U}}Disadvantages:{{/U}}
Limited life: Corporations can live forever, whereas an LLC is dissolved when a member dies or undergoes bankruptcy.
Going public: Business owners with plans to take their company public, or issuing employee shares in the future, may be the best served by choosing a corporate business structure.
Added complexity: running a sole-proprietorship or partnership will have less paperwork and complexity. An LLC may be classified as a sole-proprietorship, partnership, or corporation for tax purposes Classification can be selected or a default may apply.
单选题 What is the passage mainly about?
  • A. The structures of the limited liability company
  • B. The finance of the limited liability company
  • C. The merits and demerits of the limited liability company
  • D. The cooperation of the limited liability company
【正确答案】 C
【答案解析】
单选题 Which is NOT an advantage of LLC?
  • A. Limited liability
  • B. Avoiding double taxation
  • C. Easier access to stock market
  • D. Less-rigid profit allocation
【正确答案】 C
【答案解析】
单选题 According to the passage, if the manager of the LLC dies, what will happen to the company?
  • A. It can still survive.
  • B. It has to be dissolved.
  • C. It can then go to public.
  • D. It can make an agreement with employees.
【正确答案】 B
【答案解析】
单选题 The word "guarantee" in Paragraph 2, Line 2 is closest in meaning to ______.
  • A. security
  • B. agreement
  • C. insurance
  • D. direction
【正确答案】 B
【答案解析】