The right answer is option E.This question tests two concepts: parallelism and hypothetical subjunctive.
Based on the correct usage of the hypothetical subjunctive, we can eliminate options A, B, and C for the use of the verb
was instead of
were.
Between D and E, option E is rightly constructed in a parallel structure, expressing a parallelism between the verbs
avoid and
receive. In option D, the comma before and, the parallelism marker, suggests that
avoid some egregious double taxation that would occur if the company were set up as a C-corporation should be an independent clause, but this is not the case. We can therefore eliminate option D and keep E as the answer.
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