Workforce & Business Quiz

What is the primary difference between a sole proprietorship and a partnership?

• A sole proprietorship has unlimited liability, while a partnership does not.

• A partnership involves two or more people, while a sole proprietorship involves only one.

• A sole proprietorship can raise more capital than a partnership.

• Partnerships are subject to more regulations than sole proprietorships.

Which of the following is a characteristic of a corporation?

• Unlimited liability for its owners

• Limited life span

• Ownership is represented by stocks

• Profits are not taxed at the corporate level

What does the term "labor force" refer to?

• All individuals currently holding a job in the economy

• Only those individuals working in the manufacturing sector

• The total number of people employed or actively seeking employment

• The total population of a country

Which of the following is an example of a non-profit organization?

• A local grocery store

• A public university

• A multinational corporation

• A partnership law firm

What is meant by "limited liability" in the context of business organizations?

• The company's debts are limited to a specific amount

• Owners are not personally responsible for the company's debts

• The company cannot be sued for more than its capital

• The company has a limited time to pay off its debts

In a command economy, who typically controls the labor force?

• Individual businesses

• Labor unions

• The government

• International corporations

What is the primary goal of a for-profit organization?

• To provide employment to the local community

• To maximize shareholder value

• To promote social welfare

• To minimize production costs

Which of the following best describes a cooperative?

• A business owned and operated by a single individual

• A business where profits are shared among the workers

• A business that is owned by its customers or employees

• A business that operates for the benefit of its shareholders

What is a key feature of a limited liability partnership (LLP)?

• All partners have unlimited liability

• It allows for the passive investment of partners

• Only one partner is required to have limited liability

• Partners have limited liability in the debts of the partnership

Which of the following best defines inflation?

• A decrease in the value of the stock market

• An increase in the price of goods and services over time

• A reduction in the rate of unemployment

• An increase in the value of a country's currency