What Is a Limited Liability Company? - Definition, Benefits & Examples


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A limited liability company is a hybrid of which two business structures?

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1. Which feature of a limited liability company is most like that of a partnership?

2. Which feature of a limited liability company is most like that of a corporation?

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About This Quiz & Worksheet

A limited liability company has different legal aspects and responsibilities than other types of business structures. Through providing practice and comparative questions, this quiz and worksheet will help ascertain how well you grasp this concept.

Quiz & Worksheet Goals

This quiz will present you with the following:

  • Practice problems regarding liability concerns
  • Comparison to other business structures
  • Specific features of LLCs

Skills Practiced

You will be able to practice these study skills during your time spent on this topic:

  • Reading comprehension - ensure that you draw the most important information from the related business lesson
  • Problem solving - use acquired knowledge to solve legal liability practice problems
  • Knowledge application - use your knowledge to answer questions about limited liability companies

Additional Learning

Deepen your understanding of LLCs by reviewing the related lesson, What is a Limited Liability Company? -Definition, Benefits & Examples. This lesson will address these objectives:

  • Define limited liability company
  • Learn the role of a member
  • Identify the tax advantages of LLCs
  • Understand LLC's benefits in liability issues