Have an account?
Skip to Content
Build your own quiz
20 questions
Show Answers
See Preview
- 1. Multiple ChoiceA ________ must name a board of directors that will make the major policy and financial decisions for the business.limited liability companyproprietorshipcorporationlimited liability partnership
- 2. Multiple ChoiceThe people who make the major policy and financial decisions in a corporation are theinvestorsboard of directorsmanagersowners
- 3. Multiple Choice
In what type of business organization is each owner personally liable for all business debts, even if the debts were created by other owners?
corporation
partnership
proprietorship
corporation
- 4. Multiple Choice
The easiest form of business to start and end is a(n)
limited liability partnership
corporation
franchise
proprietorship
- 5. Multiple ChoiceGroups of people form consumer cooperatives topurchase goods and services more cheaply than they could as individualsreduce the amount of property taxes that each member must paygenerate a profit for each member of the groupincrease their political power in their community
- 6. Multiple ChoicePhysicians, web designers, and furniture movers areintermediariesnonprofit corporationsmanufacturersservice businesses
- 7. Multiple Choice
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
Sole Proprietorship
Partnership
Corporation
- 8. Multiple Choice
A form of business organization that is authorized to act as a legal entity regardless of the number of owners.
Sole Proprietorship
Partnership
Corporation
Limited Liability Company
- 9. Multiple Choice
What is a disadvantage of a partnership?
ease of formation
owners share responsibility
limited liability
possibility of personality conflict
- 10. Multiple Choice
What is the advantage of corporations?
has one owner
limited liability
minimal government regulation
short life span
- 11. Multiple Choice
In which type of organization does one person take all the risks?
Corporation
Limited Liability Company
Sole Proprietorship
Partnership
- 12. Multiple Choice
Easy to start, Owner is his/her own boss, Owner keeps all the profits - These are advantages of what type of business
Partnership
Corporation
Cooperative
Sole Proprietorship
- 13. Multiple Choice
A type of business that consists of two or more people?
Sole Proprietorship
Partnership
Corporation
- 14. Multiple Choice
What type of business structure is owned by many people?
Corporation
Partnership
Sole Proprietorship
LLC
- 15. Multiple Choice
Which of the following is the definition for sole proprietorship
business investment that involves renting or leasing another successful business model
unincorporated 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 States
unincorporated business owned and operated by two or more people who share the profits and have unlimited liability for the debts and obligations of the firm
- 16. Multiple Choice
Which of the following is the definition for Franchise
business investment that involves renting or leasing another successful business model
unincorporated 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 States
unincorporated business owned and operated by two or more people who share the profits and have unlimited liability for the debts and obligations of the firm
- 17. Multiple Choice
Which of the following is the definition for Corporation?
business investment that involves renting or leasing another successful business model
unincorporated 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 States
form 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
- 18. Multiple Choice
Which of the following is the definition for Partnership?
business investment that involves renting or leasing another successful business model
unincorporated 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 States
unincorporated business owned and operated by two or more people who share the profits and have unlimited liability for the debts and obligations of the firm
- 19. Multiple Choice
Which of the following is a disadvantage of a corporation?
it is easy to raise financial capital using stocks, bonds, or loans.
the double taxation of corporate profits. Profits are taxed the first time when the corporation pays income taxes. The profits are taxed a second time when shareholders pay taxes on their dividends.
it is easy to get a charter to start a corporation.
- 20. Multiple Choice
Which of the following is an advantage of a Franchise?
a nationwide network that had a respected product, a deep product line, excellent quality standards, nationwide advertising, and professional advice whenever needed.
the ease of raising financial capital through stocks, bonds, and loans.
the ease of management between two or more partners.
- Answer choicesTagsAnswer choicesTags