- 1 Marks
Question
Which of the following is NOT an advantage of incorporation?
A. Perpetual succession
B. Property right
C. Limited liability
D. Separate personality
E. Merger
Answer
E. Merger
Explanation:
The correct answer is E because a merger is not a specific advantage of incorporation. Incorporation provides benefits like perpetual succession, limited liability, and separate personality, while mergers are corporate strategies that can be pursued regardless of incorporation status.
- Tags: Incorporation, Limited Liability, Perpetual Succession
- Level: Level 1
- Topic: Company Law
- Series: MAY 2013
- Uploader: Theophilus