Types of Businesses CE.12c

Which is NOT a basic type of business ownership?

• proprietorship
• partnership
• corporation
• retail

A form of business organization with one owner who takes all the risks and all the profit is called - 

• partnership
• proprietorship
• corporation
• governorship

A form of business organization with two or more owners who share the risks and the profits - 

• proprietorship
• corporation
• wholesale
• partnership

A form of business organization that is authorized to act as a legal entity regardless of the number of owners. 

• corporation 
• proprietorship
• partnership
• distributor

What kind of business is BEST described by these statements?
I am the only owner of my business. 
I take all the risks of doing business. 
I keep all the profits. 

• proprietorship
• corporation
• partnership
• cooperative

What is a disadvantage of partnerships?

• ease of formation
• owners share responsibilities
• limited liability
• possibility of personality conflict

How are sole proprietorships and partnerships alike?

• Contracts are needed to start the businesses.
• Owners have complete control of the business.
• Owners have limited legal liability.
• The businesses are owned by one person.

How is a corporation different from a sole proprietorship?

• Corporations are owned by only one person
• Corporations can sell stock to raise money for the business. 
• Sole proprietorships have limited liability for the owners.
• Sole proprietorships require a legal charter to start the business.

What is a corporate structure in the United States whereby the owners are not personally liable for the company's debts or liabilities?

• Manufacturing business

• Corporation

• Limited Liability Company

• Hybrid Business