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NEW QUESTION: 1
Jones, Smith, and Bay wanted to form a company called JSB Co. but were unsure about which type of
entity would be most beneficial based on their concerns. They all desired the opportunity to make taxfree
contributions and distributions where appropriate. They wanted earnings to accumulate tax-free.
They did not want to be subject to personal holding tax and did not want double taxation of income. Bay
was going to be the only individual giving management advice to the company and wanted to be a
member of JSB through his current company, Channel, InC. Which of the following would be the most
appropriate business structure to meet all of their concerns?
A. S corporation.
B. C corporation.
C. Proprietorship.
D. Limited liability partnership.
Answer: D
Explanation:
Choice "d" is correct. An LLP does not pay taxes on its earnings. Instead, the profits and losses flow
through to the partners as in a general partnership. The LLP files an informational tax return like that of a
general partnership. The partners may agree to have the entity managed by one or more of the partners.
A partner may be another entity.
Choice "a" is incorrect. A proprietorship by definition has only one owner, not three owners.
Choice "b" is incorrect. While an S corporation allows for the same treatment of its earnings and
distributions as in the facts, it is prohibited from having another company as an owner.
Choice "c" is incorrect. A C corporation pays its own taxes on its earnings, and any distributions to its
shareholders are again taxed at the shareholder level (known as "double taxation").

NEW QUESTION: 2
Which of the following is not a primary reason for outsourcing a portion of the internal audit activity?
A. To complement existing expertise with a required skill and competency for a particular audit engagement.
B. To focus on and strengthen core audit competencies.
C. To gain access to a wider variety of skills, competencies and best practices.
D. To provide the organization with appropriate contingency planning for the internal audit function.
Answer: D

NEW QUESTION: 3
Note: This question is part of a series of questions that present the same scenario. Each question in the series contains a unique solution that might meet the stated goals. Some question sets might have more than one correct solution, while others might not have a correct solution.
After you answer a question in this section, you will NOT be able to return to it. As a result, these questions will not appear in the review screen.
You have an Azure subscription named Subscription1 that contains the resources shown in the following table.

VM1 connects to a virtual network named VNET2 by using a network interface named NIC1.
You need to create a new network interface named NIC2 for VM1.
Solution: You create NIC2 in RG1 and West US.
Does this meet the goal?
A. NO
B. Yes
Answer: B
Explanation:
Explanation
The virtual machine you attach a network interface to and the virtual network you connect it to must exist in the same location, here West US, also referred to as a region.
References:
https://docs.microsoft.com/en-us/azure/virtual-network/virtual-network-network-interface

NEW QUESTION: 4

A. Option D
B. Option C
C. Option B
D. Option A
Answer: C