27
QuizMultiple Choice

Investment Strategies — Cumulative exam

Question 27 • * HSA 26-27 Economics

Which best describes what happens to a corporation after its founders retire?

Answer
A
It shuts down operations.
B
It transfers to new owners.
C
It continues in business.
D
It sells out to shareholders.

Explanation

A corporation is a separate legal entity from its founders, so it can continue operating even when they retire. Its ongoing existence does not depend on the founders remaining in charge. Therefore, the best answer is “It continues in business.”

AI-written and checked against the verified answer.

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