English for Business (Mid Test)

Sole proprietors have ____________, a situation in which a business owner is responsible for all the losses, debts, and other claims against the business.

• unlimited liability

• limited liability

• legal immunity

• dividend

Which of the following is a typical startup requirement for a sole proprietorship?

• hiring officers to run the company

• signing a contract with a partner

• selling shares on the stock market

• obtaining a business license

What term is defined as an enterprise that produces goods or services, usually to make a profit?

• stock

• business organization

• unlimited liability

• vertical merger

Law firms and doctor's offices are examples of.....

• Franchises

• Partnerships

• Sole Proprietorships

• Corporations

Advantages of this type of business include: selling stock to raise money, limited liability.

• Partnership

• Franchise

• Sole Proprietorship

• Corporation

Advantages of this business type are that the owner is their own boss and gets to keep all the profits.

• Corporation

• Partnership

• Sole Proprietorship

• Franchise

This type of business is owned by one person.

• Franchise

• Corporation

• Sole Proprietorship

• Partnership

Disadvantages of this type of business include: parent company is strict, you are limited in what you sell, and you must operate like every other franchise.

• Franchise

• Corporation

• Partnership

• Sole Proprietorship

Nike, Google and Apple are examples of.....

• Corporations

• Partnerships

• Franchises

• Sole Proprietorships

Disadvantages of this type of business include: company is taxed on profits, regulated by the government, and hard to start.

• Franchise

• Sole Proprietorship

• Corporation

• Partnership