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Unformatted text preview: Assignment 7 Provide an answer for all of the questions below. Each question is worth 10 points. 1) Bill and Ted want to start a business as adventure guides. They plan that Bill will contribute the capital while Ted will actually conduct the guides; Bill won't be actively involved in the company. They both want limited liability, and they only want to be taxed on the income they actually receive from the business. They may want other people to become investors in the business at some point, and they do not want a limit on the type or number of future investors. They do not want to have annual meetings unless they are required to do so. What is the best form of business association for Bill and Ted to form, and what provisions will need to be made to account for their various desired features of the business? A Limited Liability Company, or LLC, would work best for Bill and Ted since it will allow them to have limited liability, income flows from the company to the individual members to avoid the...
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- Spring '09
- Business Law, Corporation, Types of business entity, Types of companies, Legal entities