Chp 7 quiz

A form of business in which there is only own owner is referred to as a

• Corporation
• Partnership
• Sole Proprietorship
• Franchise

_______ is the concept that an owner's personal assets can be used to pay the bills of the business.

• Unlimited liability
• Limited liability
• Limited debt
• Total revenue

Most of the dollar sales in the United States are earned by

• Proprietorships
• Partnerships
• Entrepreneurs
• Corporations

Disadvantages include limited life and
the potential for conflict between partners

• Sole Proprietorship
• Partnership
• Corporation
• Conglomerate

An advantage of a corporation is that

• owners pay fewer taxes than owners of other forms of business.
• the business is subject to little government regulation.
• owners have limited liability for debt.
• owners have direct and immediate control over daily management of the business.

Barry and two associates have been operating a business that is not going well. Barry is stressed out because the company is over $200,000 in debt and he knows that if it goes out of business, he and his two associates will have to pay it out of their own pockets. It sounds like Barry and his two associates have a 

• partnership.
• corporation.
• sole proprietorship.
• stock.

Which of the following is the best definition of REVENUE?

• The total amount of income a business makes from selling products or services
• The amount of money a business has LEFT over after paying for their costs.
• The total amount of money a business spends.
• The amount of money a business loses every month.

Which of the following is the best definition of PROFIT?

• The total amount of income a business makes from selling products or services
• The amount of money a business has left over after paying for their costs.
• The total amount of money a business spends.

Which of the following is the equation for figuring out PROFIT?

• Profit = Revenue - Cost
• Profit = Cost - Revenue
• Revenue = Profit - Cost
• Costs = Profit - Revenue

Tags

CCSS.HSA.CED.A.4

Your business rents a building on Main Street in Cedar Falls.  Every month you pay exactly $750 to rent the building.  This is an example of a...

• FIXED cost.
• VARIABLE cost.

Tags

CCSS.HSF-LE.A.1B