Types of Business Ownership

Open Ended

Explain how the concept of liability affects the choice of business structure.

Multiple Choice

Which of the following is a significant factor when choosing a type of business ownership?

• Tax implications

• Office location

• Employee dress code

• Company logo design

Multiple Choice

Which of the following statements about small businesses is correct?

• Small businesses always have more than 500 employees.

• Most small businesses have less than 20 employees.

• All small businesses are run by more than one person.

• Solopreneurs do not need a legal distinction for tax purposes.

Multiple Choice

Which of the following best describes a sole proprietor?

• A business owned by multiple people with limited liability.

• A business owned by one person with unlimited liability.

• A business owned by shareholders with no liability.

• A business owned by a government entity.

Multiple Choice

Which of the following is an advantage of a sole proprietorship?

• Easy to get started

• Owner has limited liability

• Requires registration

• Profits are shared among partners

Multiple Select

Which of the following are disadvantages of a sole proprietorship?

• Owner is responsible for profits and losses

• Owner runs the day-to-day operations

• Owner is responsible for all associated liabilities

• Profits are shared among partners

Fill in the Blanks

A partnership is a business owned by two or more

.

Multiple Choice

Which type of partnership is most similar to a local bakery or family business?

• Limited Partnership

• General Partnership

• Limited Liability Partnership

• Sole Proprietorship

Multiple Choice

In a limited partnership, what is the liability of partners who are not active in management?

• Unlimited liability

• Liability limited to their investment

• No liability

• Liability for all partners equally

Open Ended

Explain why it is important to create a partnership agreement when starting a business with a partner.

Multiple Choice

Which of the following best describes a corporation?

• A legal entity separate from its owners, offering limited liability

• A group of individuals working together informally

• A government agency responsible for regulations

• A partnership between two or more businesses

Multiple Choice

What is the purpose of filing Articles of Incorporation when starting a corporation?

• To legally establish the corporation as a recognized entity under state law

• To apply for a business loan

• To register for taxes

• To hire employees

Fill in the Blanks

Public corporation shares are traded openly on the

York Stock Exchange and NASDAQ.

Multiple Choice

What is a significant advantage of being a public corporation?

• Ability to sell stock and raise capital

• Freedom from government regulation

• No need to report finances

• Unlimited liability for owners

Multiple Select

Which of the following are characteristics of a public corporation?

• Sells shares of stock

• Reports financial information to the public

• Is heavily regulated by the government

• Is owned by a single individual

Open Ended

After learning about the types of business ownership, write 7 little words you remember from the lesson.

Multiple Select

How do you feel about Types of Business Ownership?

• 😊

• 👍

• 😥

• 😭

Open Ended

Write one sentence about your emoji chosen on the last slide. Then turn and discuss with your neighbor. Be prepared to share.