8.3+Outline+and+Questions

=A corporation is a legal entity, or being, owned by individual stockholders, each of whom faces limited liability for the firm's debts.= =Stock is a certificate of ownership in a corporation.= =Closely held corporations are are corps that only give out stock to close friends and family= =A publicly held corporation makes stock available on the open market.= =Firms that wish to incorporate must first file for a state license known as a certificate of incorporation or corporate charter.= =Dividends are the portion of corporate profits paid out to stockholders.= =Horizontal mergers join two or more firms competing in the same market with the same good or service.= =Vertical Mergers join two or more firms involved in different stages of producing the same good or service.= =Conglomerates have more than three businesses that make unrelated products.= QUESTIONS 1. A corporation differs because they are owned by stockholders. 2. Publicly held corporations make their stock available on the stock market. 3. A state license is required. 4. Stock is a certificate of ownership in a corporation. 5. A merger is when two or more companies combine 6. You must pay taxes because they count as earnings. 7. Because they are in multi nations