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- 1. Multiple ChoiceThis type of business is owned by one person.PartnershipSole ProprietorshipCorporationFranchise
- 2. Multiple ChoiceAdvantages of this business type are that the owner is their own boss and gets to keep all the profits.PartnershipSole ProprietorshipCorporationFranchise
- 3. Multiple ChoiceDisadvantages for this type of business include: owner pays for everything, hard to get money to start from the bank, owner might lack skills & unlimited liability.Sole ProprietorshipPartnershipCorporationFranchise
- 4. Multiple ChoiceA business owner who prefers to maintain complete control of all business activities might consider structuring the venture as a(n)sole proprietorshipgeneral partnership.franchisecorporation.
- 5. Multiple ChoiceThe disadvantages of this business organization include unlimited liability, difficulty raising financial capital, difficulty attracting qualified employees, and having a limited lifeSole PropriotorshipPartnershipCorporation
- 6. Multiple ChoiceA partnership in which all partners assume full personal liability for debts of the firmlimited partnershiptrading partnershipnon-trading partnershipgeneral partnership
- 7. Multiple ChoicePartners who are only responsible up to the extent of their investmentlimited partnershiptrading partnershipnon-trading partnershipspecial partnership
- 8. Multiple ChoiceHow is a general partnership organized?Every partner shares equally in both responsibility and liabilityThe doctors, lawyers, or accountants who form a general partnership hire others to run the partnershipNo partner is responsible for the debts of the partnership beyond his or her investmentOnly one partner is responsible for the debts of the partnership
- 9. Multiple ChoiceWhat is a major advantage of a business that is a partnership rather than a sole proprietorship?The responsibility for the business is sharedThe business is easy to set upThe partners are not responsible for business debtsThe business is easy to sell
- 10. Multiple ChoiceJoe is starting a small home-based consulting business. He possesses computer knowledge but lacks marketing skills. The form of business ownership that Joe might consider establishing is a(n)corporationsole proprietorshipmonopolygeneral partnership.
- 11. Multiple ChoiceWhich of the following is a disadvantage of corporations:High taxesUnlimited lifeUnlimited liabilityfinancial power
- 12. Multiple ChoiceWhich of the following is an advantage of the corporation as a form of business ownership:Less complex requirementsSeparate owners and managersLimited liabilityHigh Taxes
- 13. Multiple ChoiceThe owners of a corporation are calledDirectorsPartnersShareholdersFounders
- 14. Multiple ChoiceMost expensive to startSole ProprietorshipPartnershipCorporation
- 15. Multiple ChoiceShortest lifespanSole ProprietorshipPartnershipCorporation
- 16. Multiple ChoiceOwnership represented by stockSole ProprietorshipPartnershipCorporation
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