1. Which type of company must have a public-service mission and purpose?
A) S corporation
B) nonprofit corporation
C) franchise
D) LLC
is the answer C?
Nope.
Then I believe it's C, that's all I can find. That was my 2nd answer anyways.
What is your first answer?
Oh oops! I meant D, sorry!
Check your text -- but doesn't a nonprofit have to have a mission statement and a purpose?
wat is it?
The correct answer is B) nonprofit corporation. Nonprofit corporations are specifically organized to serve public or charitable purposes, rather than for the financial benefit of their members or shareholders. To arrive at this answer, you can understand the characteristics and purposes of different types of companies:
A) An S corporation is a type of corporation that passes corporate income, losses, deductions, and credits through to their shareholders for federal tax purposes. However, it does not necessarily have a public-service mission or purpose.
B) Nonprofit corporations are organized to further social, cultural, educational, religious, or other charitable purposes. They are required to reinvest any surplus revenue generated back into the organization to fulfill their mission.
C) Franchise refers to a business model where an individual or entity (the franchisee) pays an established company (the franchisor) for the right to use its business model and sell its products or services under the established brand name. Franchises can have various missions, but they are not inherently focused on public-service purposes.
D) LLC stands for Limited Liability Company. It is a type of business structure that combines elements of a corporation and a partnership or sole proprietorship. Like an S corporation or a franchise, an LLC can have different purposes but does not necessarily have a public-service mission or purpose.
Therefore, the correct answer is B) nonprofit corporation.