Business Management Section 4 & 5

A business that is owned by two individuals is called a

• Sole Proprietorship

• Corporation

• S Corporation

• Partnership

Tom works as a computer consultant on his own. He obtains and services his customers, and handles all billing and collections. What form of ownership is Tom’s business?

• partnership
• sole proprietorship
• corporation

A form of business ownership in which the owners share the risk of loss and the chance for profit is a(n)

• partnership
• sole proprietorship
• corporation

Corporations are governed by a(n)

• individual 
• partnership
• Board of Directors
• magnificent 7

What type of business ownership allows individuals to purchase shares of stock and become owner's?

• Sole proprietorship
• Partnership
• Corporation

All income is taxed as a part of personal income.

• Sole Proprietorship

• Partnership

• Corporation

• Franchise

A written agreement to sell someone else’s product in a prescribed manner is called a?

• Certificate of Incorporation
• Franchise
• Partnership
• LLC

Corporations paying taxes on profits and shareholders paying taxes on dividends is called

• Liability
• Double Taxation
• Tax on Profits

A corporation can have the opportunity to form a Sub S corporation.  This form of business offers which of the following benefits?

• Limited Shareholders
• Unlimited Liability
• Double Taxation

This type of business is easy to create; there is only 1 person who has to make all of the decisions

• Franchise

• Partnership

• Sole proprietorship

• Corporation