Unit 4 Econ Study Guide

The most common type of business organization in the United States is the...

• sole proprietorship

• partnership

• merger

• franchise

The difference between the higher selling price of a stock and the lower original purchase price is the investors...

• capital gains

• profits

• control

• use of money

Shareholders generally like a stock split because...

• they get more stock shares

• they get more profit

• they get more popularity

• they get less spent money

A fact sheet containing data on a company finances is called a...

• propectos

• profits

• stocks

• revenue

the advantages of a sole proprietorship includes..

• easy to start up

• full control

• profits

• no worries

A sole proprietorship consists of...

• one person running the business

• two people running the business

• three people running the business

• as many people

Government regulations that specify the areas of a city or county where various business activities can we pursue are called.....

• zoning laws

• region laws

• city laws

• federal laws

the advantages of Partnerships include easy startup, specialization, shared decision-making and...

• shared interest

• shared money

• more profit

• friendship

An advantage of partnerships is that specific duties can be assigned to different partners, depending on the partners' skills and talents. The economic term for this practice is...

• skills

• specialization

• knowledge

• smartness

The disadvantages of partnerships include...

• unlimited liability, shared profits

• limited longevity, potential conflict

• more responsibility, not equal

• more stress, limited liability