Alabama Real Estate Practice Exam 2026 – All-in-One Guide to Master Your Real Estate License!

Question: 1 / 400

How is a corporation regarded in terms of property ownership?

As a partnership

As an individual entity

A corporation is considered an individual entity because it is a legally separate business entity from its owners. This means that the corporation owns its own assets and is responsible for its own debts, rather than the owners being personally liable. Options A, C, and D are incorrect because they do not accurately represent the legal structure and ownership of a corporation. While corporations do have the ability to form partnerships and can have a group of individuals acting as owners or shareholders, they are ultimately viewed as a distinct and separate entity from those individuals. Additionally, while corporations do have tax implications, they are not automatically considered non-taxable entities.

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As a group of individuals

As a non-taxable entity

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