Chapter 7 Vocabulary Quiz

• An establishment formed to carry on commercial enterprise.

• Sole proprietorship

• Business organization

• Liability

• Limited partnership

• A business owned and managed by a single individual.

• Limited partnership

• Business organization

• Sole proprietorship

• Liability

• The legally bound obligation to pay debts.

• Liability

• Sole proprietorship

• Business organization

• Limited partnership

• Partnership in which partners share equally in both responsibility and liability.

• Articles of partnership

• Liability

• General partnership

• Limited partnership

• A partnership agreement; spells out partner’s rights and responsibilities.

• Articles of partnership

• General partnership

• Limited partnership

• Corporation

• Partnership in which only one partner is required to be a general partner.

• Liability

• Articles of partnership

• Limited partnership

• General partnership

• A legal entity owned by individual stockholders.

• General partnership

• Articles of partnership

• Stock

• Corporation

• A certificate of ownership in a corporation.

• Publicly held corporation

• Closely held corporation

• General partnership

• Stock

• Corporation that issues stock only to a few people, often family members.

• Closely held corporation

• Publicly held corporation

• Stock

• Corporation

• Corporation that sells stock on the open market.

• Publicly held corporation

• Dividend

• Bonds

• Closely held corporation