THIS USER ASKED 👇
Limited liability companies are primarily designed to: a. spin off a wholly owned subsidiary b. provide the benefits of the corporate structure to foreign-based entities c. allow a portion of their owners to enjoy limited liability while granting the other portion of their owners control over the entity d. allow companies to reorganize themselves through the bankruptcy process e. provide limited liability while avoiding double taxation
THIS IS THE BEST ANSWER 👇
The answer to the question given above is option D: provide limited liability and avoid double taxation. This is the main purpose of limited liability companies. Essentially, in a limited liability company or known as the LLC, the members of the company are considered safe from any chance of debt or liability of the company. In view of this benefit, the LLC does not pay taxes.