Which entity is described as a business owned by stockholders who share profits but are not personally responsible for debts and can buy or sell its own property without a real estate broker or DBPR registration?

• A. Corporation
• B. Partnership
• C. Sole Proprietorship
• D. LLC

Answer: (A)

This describes a corporation. In a corporation, stockholders own the business and share in profits through dividends, while the owners aren’t personally liable for the company’s debts because liability is limited to the corporation itself. That separation lets the entity own property in its own name and handle real estate transactions as the corporation, without needing a real estate broker or DBPR registration for those acts, since licensing applies to individuals or brokers, not to the corporate owner acting on its own behalf. Other forms, like sole proprietorships or partnerships, involve personal liability for owners and don’t feature stockholders, and while an LLC also provides limited liability, its owners are called members rather than stockholders, which doesn’t fit the description given.