Business Ownership

The fee a franchisee continually pays the franchisor to keep operating the franchise is called a _____.

• commission

• royalty payment

• kickback

• down payment

Money and other assets owned by a business.

• franchise fee

• profits

• capital

• royalties

When entrepreneurs want to conduct business in a name other than their own, they must _____.

• legally change their name

• purchase the corresponding domain name

• register a valid employer ID number

• obtain a DBA license

In a _____ all partners have unlimited liability.

• corporation

• general partnership

• silent partnership

• limited partnership

Document describing the purpose, place of business, and other details of a corporation.

• shares of stock

• charter

• business plan

• partnership agreement

The owners of which of the following carry the risk of unlimited liability?

• sole proprietorship

• subchapter S corporation

• partnership

• public corporation

A ________ is a legal entity separate from its owners.

• sole proprietorship

• corporation

• silent partner

• franchise

People who have shares of ownership in a company are called _____.

• board members

• silent partners

• shareholders

• stock brokers

The company that sells the rights of a franchise is the_________.

• franchisee

• franchisor

• host company

• sponsor

A for-profit business that is owned and operated by a single person is known as a _________.

• sole proprietorship

• C corporation

• subchapter S corporation

• partnership