Question

which best describes what happens to a corporation after its founders retire?
○ it shuts down operations.
○ it transfers to new owners.
○ it continues in business.
○ it sells out to shareholders.

Explanation:

A corporation is a legal entity separate from its founders. Its existence is not dependent on the founders' active involvement. When founders retire, the corporation typically continues its business operations as it has a structured management and ownership (through shareholders) that allows it to persist. Shutting down is unusual just due to founders' retirement. Transfer to new owners isn't the default (ownership is via shares, not a direct transfer like a small business), and "selling out to shareholders" is not accurate as shareholders already own parts of it, and the corporation's continuity is standard.

Answer:

C. It continues in business.