Mary Wu, the proprietor of Quality Environmental Services, is wondering how she should organize her new business. Answer the following questions about the different ways in which Mary might organize the business. Explain each answer.

a. What form of organization will enable Mary to limit her risk of loss to the amount she has invested in the business?

b. What form of business organization will give Mary the most freedom to manage the business as she wishes?

c. What form of organization will give creditors the maximum protection in the event that Quality Environmental fails and cannot pay its liabilities?

d. If you were Mary and could organize the business as you wish, what form of organization would you choose for Quality Environmental? Describe the purpose of the financial statements; use the financial statements to make decisions; make ethical business decisions