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- Multiple ChoicePlease save your changes before editing any questions.This type of business is owned by one person.PartnershipSole ProprietorshipCorporationFranchise
- Multiple ChoicePlease save your changes before editing any questions.Advantages of this business type are that the owner is their own boss and gets to keep all the profits.PartnershipSole ProprietorshipCorporationFranchise
- Multiple ChoicePlease save your changes before editing any questions.Disadvantages 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
- Multiple ChoicePlease save your changes before editing any questions.What 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
- Multiple ChoicePlease save your changes before editing any questions.What is a business owned by stockholders/investors but operated by others?Sole ProprietorshipPartnershipCorporation
- Multiple ChoicePlease save your changes before editing any questions.What is a business owned and operated by two or more people?Sole ProprietorshipPartnershipCorporation
- Multiple ChoicePlease save your changes before editing any questions.What is ONE advantage of a sole proprietorship?You make ALL the decisionsEasy to raise moneyYou have to share profits
- Multiple ChoicePlease save your changes before editing any questions.Which is ONE disadvantage of Sole Proprietorship?Less direct controlDisagreementsHard to raise money
- Multiple ChoicePlease save your changes before editing any questions.What is ONE advantage of a Corporation?Difficult to startMake all of the decisionsEasy to raise money!
- Multiple ChoicePlease save your changes before editing any questions.Disadvantages include limited life and
the potential for conflict between partnersSole PropriotorshipPartnershipCorporation - Multiple ChoicePlease save your changes before editing any questions.Characteristics include owned by two or more people and may be general or limitedSole PropriotorshipPartnershipCorporation
- Multiple ChoicePlease save your changes before editing any questions.Advantages include limited liability for owners, unlimited life, and ease of transfer of ownership.Sole PropriotorshipPartnershipCorporation
- Multiple ChoicePlease save your changes before editing any questions.Which of the following is NOT a business organization?Sole ProprietorshipCorporationPerfect CompetitionPartnership
- Multiple ChoicePlease save your changes before editing any questions.What is a disadvantage of partnerships?ease of formationowners share responsibilitieslimited liabilitypossibility of personality conflict
- Multiple ChoicePlease save your changes before editing any questions.Sara’s Hair Palace is a small, locally owned beauty salon in Sterling. This represents what type of business?corporationpartnershipsole proprietorship
- Multiple ChoicePlease save your changes before editing any questions.
A company wants to computerize its accounting system. It issues stocks to raise additional funds.
Sole Proprietorship
Partnership
Corporation
- Multiple ChoicePlease save your changes before editing any questions.
2. Mario and his brother Luigi started a plumbing company together. They split the profits and the expenses.
Sole Proprietorship
Partnership
Corporation
- Multiple ChoicePlease save your changes before editing any questions.
3. Mary opened a dance studio. She receives all the profits from her students’ lessons.
Sole Proprietorship
Partnership
Corporation
- Multiple ChoicePlease save your changes before editing any questions.
Mr. Lewis pays taxes on dividends for stocks he owns in a manufacturing company. The company also pays taxes on its income before distributing it to stockholders.
Sole Proprietorship
Partnership
Corporation
- Multiple ChoicePlease save your changes before editing any questions.
Dan, Tony, and Mac own a pizza parlor. They rotate hours and days off.
Sole Proprietorship
Partnership
Corporation
- Multiple ChoicePlease save your changes before editing any questions.
Mr. Wells owns a card shop. Because baseball cards have declined in popularity his business is struggling. He decides he has to sell his house to pay off his business debts.
Sole Proprietorship
Partnership
Corporation
- Multiple ChoicePlease save your changes before editing any questions.
Unger and Unger is a law firm consisting of two brothers who started their own business. They both are responsible for all profits and risks that their firm will have.
Sole Proprietorship
Partnership
Corporation
- Multiple ChoicePlease save your changes before editing any questions.
8. A person who takes a risk to produce goods and services in search of a profit is an entrepreneur. In which kind of business structure may entrepreneurs establish a business?
Partnerships and Corporations
Sole Proprietorships, Partnerships, and Corporations
Only Corporations
Sole Proprietorships and Corporations
- Multiple ChoicePlease save your changes before editing any questions.
9. What type of business is described in the diagram below?
Sole Proprietorships
Partnerships
Corporation
- Multiple ChoicePlease save your changes before editing any questions.
10. What characteristic of a corporation is missing from the diagram on the below?
Owner shares the profits with family members only
Stockholders share the profits
Main owner receives the majority of profits
Board of Supervisors has the final say on new products
- Multiple ChoicePlease save your changes before editing any questions.
Advantages of Sole proprietorship
Easy to Form
Quick Decision
More Motivation- Gets to keep all the profit
Direct relationship
Shares losses
- Multiple ChoicePlease save your changes before editing any questions.
Advantages of Partnership Firm
Balanced decision
Shares losses
Easy to Form
Single owner
Availability of large resources
- Multiple ChoicePlease save your changes before editing any questions.
Disadvantages of Sole proprietorship
Limited Capital
Easy to form
Poor expertise
Limited Size
Lack of continuity
- Multiple ChoicePlease save your changes before editing any questions.
Disadvantages of partnership firm.
Unlimited liability
Uncertain life
Single owner
Limited capital
- Multiple ChoicePlease save your changes before editing any questions.
What does 'liability' mean?
Responsibility
Utility
Satisfaction
Legal qualifications
- Multiple ChoicePlease save your changes before editing any questions.
Which type of business organization has limited liability?
corporation
sole proprietorship
partnership
- Multiple ChoicePlease save your changes before editing any questions.
Which type of business organization gets to keep all profits from the business?
sole proprietorship
corporation
partnership
- Multiple ChoicePlease save your changes before editing any questions.
Which type of business organization will keep going if the owner passes away?
corporation
sole proprietorship
partnership
- Multiple ChoicePlease save your changes before editing any questions.
Which type of business organization has only one owner?
sole proprietorship
partnership
corporation
- Multiple ChoicePlease save your changes before editing any questions.
Which type of business owner has more than one owner AND has unlimited liability?
partnership
corporation
sole proprietorship
- Multiple ChoicePlease save your changes before editing any questions.
_______________ and 'responsibility' are synonyms.
Liability
Lifespan
Decision-making
Barriers to entry
- Multiple ChoicePlease save your changes before editing any questions.
Ja'Corey is afraid of starting a business, having the business fail, and losing his house. What term describes his fear?
Liability
Lifespan
Decision-making
Taxation
- Multiple ChoicePlease save your changes before editing any questions.A form of business organization with one owner who takes all the risks and all the profit is called -partnershipproprietorshipcorporationgovernorship
- Multiple ChoicePlease save your changes before editing any questions.A form of business organization with two or more owners who share the risks and the profits -proprietorshipcorporationwholesalepartnership
- Multiple ChoicePlease save your changes before editing any questions.What is a disadvantage of partnerships?ease of formationowners share responsibilitieslimited liabilitypossibility of personality conflict
- Multiple ChoicePlease save your changes before editing any questions.What is the advantage of corporations?minimal government regulationlimited liabilityshort life spanhas one owner
- Multiple ChoicePlease save your changes before editing any questions.What kind of business is BEST described by these statements?
I am the only owner of my business.
I take all the risks of doing business.
I keep all the profits.proprietorshipcorporationpartnershipcooperative - Multiple ChoicePlease save your changes before editing any questions.Which of the following is the definition for Franchisebusiness investment that involves renting or leasing another successful business modelunincorporated business owned and run by a single person who has rights to all profits and unlimited liability for all debts of the firm; most common form of business organization in the United Statesunincorporated business owned and operated by two or more people who share the profits and have unlimited liability for the debts and obligations of the firmform of business organization recognized by law as a separate legal entity with all the rights and responsibilities of an individual, including the right to buy and sell property, enter into legal contracts, and to sue and be sued
- Multiple ChoicePlease save your changes before editing any questions.The people who make the major policy and financial decisions in a corporation are theinvestorsboard of directorsmanagersowners
- Multiple ChoicePlease save your changes before editing any questions.
What term is defined as an enterprise that produces goods or services, usually to make a profit?
business organization
unlimited liability
stock
vertical merger
- Multiple ChoicePlease save your changes before editing any questions.What is a business owned and operated by one person?Sole ProprietorshipPartnershipCorporation
- Multiple ChoicePlease save your changes before editing any questions.What is a business owned and operated by two or more people?Sole ProprietorshipPartnershipCorporation
- Multiple ChoicePlease save your changes before editing any questions.What is ONE advantage of a sole proprietorship?You make ALL the decisionsEasy to raise moneyYou have to share profits
- Multiple ChoicePlease save your changes before editing any questions.Which is ONE disadvantage of Sole Proprietorship?Less direct controlDisagreementsHard to raise money
- Multiple ChoicePlease save your changes before editing any questions.What is ONE disadvantage of a Partnership?Easier to startHave to share the profitsHelp in making decisions
- Multiple ChoicePlease save your changes before editing any questions.The best definition of a sole trader is a business thatonly employs one personis owned by one personhas a single customeris a single firm in the industry
- Multiple ChoicePlease save your changes before editing any questions.One of the advantages of a sole trader business is thatowners have limited liabilityshares can be sold to raise capitaldecisions and responsibilities can be sharedthe owner has complete control over decision making
- Multiple ChoicePlease save your changes before editing any questions.One disadvantage of a sole trader business is thatcapital is limited to the owner's savings and bank loansdecisions take too long to makeowners may disagree
- Multiple ChoicePlease save your changes before editing any questions.One of the advantages of a partnership is thatall partners have limited liabilityshares can be sold on the Stock Exchangethe business can survive the death of the partnersthe business has access to more capital than a sole trader
- Multiple ChoicePlease save your changes before editing any questions.Which of the following is not a feature of a private limited company?Shares can be issued to raise capitalShares can be bought and sold on the Stock ExchangeAll owners of the business have limited liabilityThe business continues after the death of a shareholder
- Multiple ChoicePlease save your changes before editing any questions.The main reason why an entrepreneur will convert an LTD into a PLC isthey don't want to remain in the private sectorthey want to gain the benefits of limited liabilitythey want to keep the annual accounts secretthey want to raise additional capital to expand the business
- Multiple ChoicePlease save your changes before editing any questions.One of the main disadvantages of a PLC is theloss of control by the owners as additional shares are soldfirms in the public sector are often less efficientpossibility that if a company fails owners might lose assets
- Multiple ChoicePlease save your changes before editing any questions.Which of the following statements about PLCs is most trueThe firm is owned and controlled by the workersThe firm is owned by the directors but run by shareholdersThe firm is owned by shareholders and run by directorsThe firm is owned and controlled by the government
- Multiple ChoicePlease save your changes before editing any questions.One of the reasons an entrepreneur might buy a franchise isit is cheaper than setting up a new business venturethere is complete control over important decisionsthe risk of failure is lower
- Multiple ChoicePlease save your changes before editing any questions.What is the advantage to a business of selling a franchise license to franchisee?The business can expand more quicklyThe franchisor owns all of the shopsThe business buying the franchise is likely to be successful
- Multiple ChoicePlease save your changes before editing any questions.One of the disadvantages of an entrepreneur buying a new franchise isthe profits of the franchisor's business will be lowera share of the set up costs will be paid to the franchisorconsumers are less likley to not all decisions are taken by the franchiseeconsumers are less likley to have heard of the franchise
- Multiple ChoicePlease save your changes before editing any questions.All of the following are advantages of joint ventures exceptThe cost of a new project can be split between companiesManufacturing costs will be divided between the firmsJoint venture companues can enjoy economies of scaleManagement of a joint venture might cause disagreement