Business Ownership and Entrepreneurship

What is the primary characteristic of a Sole Proprietorship?

• Shared ownership

• Multiple owners

• One owner

• Board of directors

How many owners are typically involved in a Partnership?

• One

• Two or more

• Three

• Five

In a Partnership, how are profits and losses shared?

• Only the senior partner receives profits

• Equally among all partners

• Based on the number of employees

• Determined by a lottery system

What distinguishes a Corporation from other business types?

• Limited liability

• Shared decision-making

• Sole ownership

• No legal entity status

What level of control does an owner have in a Sole Proprietorship?

• Limited control

• Shared control

• Complete control

• No control

What is the significance of a partnership agreement?

• Not required

• Optional

• Mandatory

• Suggested

How is a Corporation considered a separate legal entity?

• It has no legal status

• It is not separate from its owners

• It can own property and make contracts

• It has unlimited liability

What role does the board of directors play in a Corporation?

• Share profits with owners

• Make important decisions

• Manage day-to-day operations

• No specific role

Who is responsible for the profits and losses in a Sole Proprietorship?

• Board of directors

• Shareholders

• One owner

• Government

How does a Corporation raise funds for operations?

• Selling shares of stock

• Borrowing from banks

• Government grants

• No need for funds