Suppose that shortly after graduating from college, you decide to start your own business. Will you be likely to organize the business as a sole proprietorship, a partnership, or a corporation? Explain your reasoning.
Explain the following argument: I would like to invest in the stock market, but I thinking buying shares of stock in a corporation is too risky. Suppose I buy $10,000 of General Electric stock, and the company ends up going bankrupt. Because as a stockholder I am part owner of the company, I might be responsible for paying hundreds of thousands of dollars of company’s debts”