Investor who faces unlimited liability on investment

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Reference no: EM132024202

1. Which of the following statements generally cannot be correct for an investor who faces unlimited liability on an investment?

A. The investor owns stock in the firm.

B. The investor has no partners.

C. The investor is subject to double taxation.

D. The investor is responsible for managing the firm.

2. A 10-year bond pays 5% on a face value of $1,000. If similar bonds are currently yielding 10%, what is the market value of the bond? Use annual analysis.

$693.25

$386.00

$3,390.85

$1,386.09

Reference no: EM132024202

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