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- 1. Multiple ChoiceHow is a corporation different from a sole proprietorship?Corporations are owned by only one personCorporations can sell stock to raise money for the business.Sole proprietorships have limited liability for the owners.Sole proprietorships require a legal charter to start the business.
- 2. Multiple ChoiceSteven and his brothers want to start a plumbing business together. What is an advantage of organizing the business as a partnership rather than a corporation?Partnerships can be started up quickly.Partnerships can issue stock to raise money.Partnerships have limited legal liability.Partnerships need a legal charter to begin.
- 3. Multiple ChoiceWhen comparing the four main types of business organization, which type protects owners the MOST from personal financial liability due to being sued by a customer?CorporationFranchisePartnershipSole proprietorship
- 4. Multiple ChoiceHow are sole proprietorships and partnerships alike?Contracts are needed to start the businesses.Owners have complete control of the business.Owners have limited legal liability.The businesses are owned by one person.
- 5. Multiple ChoiceHow is a corporation different from a sole proprietorship or partnership?Corporation has only one or two owners.Corporation is usually owned by one person.Corporations requires a legal charter to start.The owners of the corporation control the business.
- 6. Multiple ChoiceThe MOST LIKELY incentive for entrepreneurs to start a new business isto make a profitdiscover a new patentto risk financial failureto create a new social benefit
- 7. Multiple ChoiceThe market structure with the largest number of suppliers ismonopolyoligopolyperfect competitionmonopolistic competition
- 8. Multiple Choice
Which market structure is BEST indicated by the photograph?perfect competitionmonopolyoligopolymonopolistic competition - Answer choicesTagsAnswer choicesTags