What Is a Corporation?

How much cash was provided by operating activities?

a) $239900

b) $270500

c) $177900

d) $174300

Operating activities provided $270500 in cash.

A corporation is a legal entity formed by a group of people to manage and run a commercial or industrial business. The formation of a corporation allows for limited liability for its shareholders and the ability to raise capital through the issuance of stocks.

Corporate legislation in different jurisdictions may dictate the various ways in which a corporation can be incorporated, taking into account tax implications and financial liability considerations.

The choice of business form, whether it be a corporation, partnership, or sole proprietorship, is often influenced by the nature of the industry in which the company operates. These decisions also impact the ownership structure of the business.

Corporations can be classified into private and public companies, each with its own ownership structures, legal frameworks, and financial reporting requirements. Public companies typically have shares traded on stock exchanges, while private companies are closely held by a smaller group of shareholders.