Type of business organisation G9_JFS

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

In a corporation, owners share profit, but liability is limited to - 

• investment
• distribution
• theft
• production

What is a disadvantage of partnerships?

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

What is the advantage of corporations?

• minimal government regulation
• limited liability
• short life span
• has one owner

In which type of organization does one person take all the risks?

• corporation 
• partnership
• monopoly 
• proprietorship

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.

• sole proprietorship

• corporation

• partnership

• cooperative

When comparing the four main types of business organization, which type protects owners the MOST from personal financial liability due to being sued by a customer?

• Corporation
• Franchise
• Partnership
• Sole proprietorship

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.

A business owned and controlled by at least two people who have entered into a written agreement.

• proprietorship
• partnership
• corporation