Business Organizations

Sharon decided to open a dry-cleaning business. She borrowed some money from her sister and

took a loan from a bank. She hired one helper. What is one disadvantage of Sharon’s business?

• no separation of ownership and control

• ease of organizing the firm

• unlimited liability

• double taxation

Shawn runs his own landscape company where he does all of the work and has total control. What is an advantage of this type of business organization.

• Has a limited life

• Difficult to start up

• Receives all of the profits

• There is potential for conflicts

Tony has stock in Home depot what is one of the disadvantages to this type of Business Organization?

• There is long life

• Tony has limited liability with Home Depot

• There is an easy start up

• Tony is double taxed

Which business organization has 90% of all sales?

• Sole Proprietorship

• Cooperation

• Partnership

• Monopoly

Which Business Organization is the easiest to start up?

• Partnership

• Oligopoly

• Cooperation

• Sole Proprietorship

Kroger is an example of a....

• Partnership

• Sole Proprietorship

• Cooperation

• Monopoly