Total points: $1/5$

Jasper, Saul, and Kenyon plan to open a new business providing sky$-$diving lessons and selling sky$-$diving equipment. Each of them plans to contribute the same amount of

money to get the business started, and each will work for the business. Jasper is concerned about the possibility of being liable for the acts of Saul and Kenyon. Jasper also

wants to make sure he does not pay more taxes than required. After reviewing the types of business entities available, Jasper suggests to Saul and Kenyon that they organize

their new business as a$(n)$

close corporation.

partnership.

corporation.

LLC$.$

Pro Flowers LLC has been in business for $5$ years. When one of its members dies, the other members of the LLC agree to dissolve the LLC$.$ They proceed to wind up the

business, collecting and liquidating all the assets of the LLC$.$ Once that is done, the proceeds will be distributed$-$

first to creditors, and then the remaining amount will be divided equally among the members.

first to creditors, then members' capital contributions will be returned, and any remaining amounts are then distributed to members in equal shares or