Intro to Business-Final Review-2

Which is NOT a basic type of business ownership?

• proprietorship
• partnership
• corporation
• retail

A form of business organization with two or more owners who share the risks and the profits - 

• proprietorship
• corporation
• wholesale
• partnership

A form of business organization that is authorized to act as a legal entity regardless of the number of owners. 

• corporation 
• proprietorship
• partnership
• distributor

A person who takes a risk to produce goods and services in search of profit - 

• entrepreneur
• magistrate
• profiteer
• baliff

What is a disadvantage of partnerships?

• ease of formation
• owners share responsibilities
• limited liability
• possibility of personality conflict

What is the advantage of corporations?

• minimal government regulation
• limited liability
• short life span
• has one owner

In which type of organization does one person take all the risks?

• corporation 
• partnership
• monopoly 
• proprietorship

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. 

• proprietorship
• corporation
• partnership
• cooperative

An entrepreneur - 

• enforces government regulations
• takes the risk to earn profit
• sets the interest rates at banks
• manages financial investments

How is a corporation different from a sole proprietorship?

• Corporations are owned by only one person
• Corporations 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.