Bunuel wrote:
Competition Mode Question
The owners of a fast growing tech start-up in Newport Beach organized the firm as a Limited Liability Company (LLC). The owners receive considerable personal liability
protection from potential lawsuits, and they also avoid some egregious double-taxation that would occur if the company was set up as a C-corporation.
(A) protection from potential lawsuits, and they also avoid some egregious double-taxation that would occur if the company was set up as a C-corporation
(B) protection from potential lawsuits and avoid some egregious double-taxation that would occur if the company was set up as a C-corporation
(C) protection from potential lawsuits, avoiding some egregious double-taxation that would occur if the company was set up as a C-corporation
(D) protection from potential lawsuits, and avoid some egregious double-taxation that would occur if the company were set up as a C-corporation
(E) protection from potential lawsuits and avoid some egregious double-taxation that would occur if the company were set up as a C-corporation
OFFICIAL EXPLANATION
There are two main issues with this sentence.
(1) Since the double taxation would occur
if the company.., we are dealing with a future hypothetical situation (or possibility) and must use the subjunctive mood. Consequently,
if the company were must replace
if the company was.
(2) The two things that are true about the owners of the LLC must be parallel: they
receive...and avoid. The original sentence improperly breaks the parallelism (i.e., the phrase
receive..., and they also avoid is not parallel).
A. the subjunctive mood is not used; the sentence is not parallel (i.e., the phrase
receive..., and they also avoid is not parallel)
B. the subjunctive mood is not used
C. the subjunctive mood is not used; the sentence is not parallel (i.e., the phrase
receive..., avoiding is not parallel)
D. the sentence is not parallel (i.e., the phrase
receive..., and avoid is not parallel)
E. the subjunctive mood is used; the sentence is parallel (i.e., the phrase
receive... and avoid is parallel)
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