ABT 49 Final Exam, Spring 2023

First and last name

Which company legal structure has the greatest continuity during changes in ownership?

• Sole proprietorship
• Partnership
• Corporation
• Limited Liability Company
• All of the above

Which company legal structure is considered a hybrid of two other structures?

• Sole proprietorship
• Partnership
• Corporation
• Limited Liability Company
• All of the above

Which company legal structure is most likely for a small startup company with few assets and little cashflow to start?

• Sole proprietorship
• Partnership
• Corporation
• Limited Liability Company
• All of the above.

Which company legal structure generally has the most “rules” to follow and requires the greatest amount of paperwork?

• Sole proprietorship
• Partnership
• Corporation
• Limited Liability Company
• All of the above

Which company legal structure exposes the owners to the greatest liability?

• Sole proprietorship
• Partnership
• Corporation
• Limited Liability Company
• All of the above.

Which of the following is NOT a typical business strategy?

• Part Time (Minimum investment, minimum return)
• Specialty product or service
• High volume, high cost/margin
• Low volume, high cost/margin
• High volume, low cost/margin

What is the primary reason for the cyclical production of lettuce in Salinas, Huron, Yuma and back?

• Weather
• Labor availability
• Disease and pest control
• Consumer demand
• Land availability

Which of the following are true about business lines of credit?

• They should have large balances to leverage the bank’s money for business needs.
• They are intended to be used for capital improvements or purchases
• They are NOT intended to overcome the seasonality of many businesses.
• They are intended for cashflow purposes only!
• All of the above.

When seeking a grant from a government agency or non-profit foundation, you should describe in detail how your proposal, if funded, will _________________.

• benefit the granting agency by helping it meet its goals.
• benefit your community.
• help your business meet its goals.
• help the economy.
• decrease unemployment