Understanding Business Structures and Competition

What is the primary characteristic of a sole proprietorship in terms of liability?

• Limited liability

• Unlimited liability

• Shared liability

• No liability

Which type of business structure is characterized by double taxation?

• Sole proprietorship

• Partnership

• Corporation

• Cooperative

In which market structure is product differentiation most significant?

• Pure competition

• Monopolistic competition

• Oligopoly

• Monopoly

Which of the following business structures has an unlimited lifespan?

• Sole proprietorship

• Partnership

• Corporation

• Limited liability company

What is a key feature of an oligopoly in terms of the number of sellers?

• Many sellers

• One seller

• Few sellers

• No sellers

Which market structure is characterized by significant barriers to entry?

• Pure competition

• Monopolistic competition

• Oligopoly

• Monopoly

In which type of business structure do owners have limited liability?

• Sole proprietorship

• Partnership

• Corporation

• Cooperative

Which market structure allows for the most price control by the seller?

• Pure competition

• Monopolistic competition

• Oligopoly

• Monopoly

What is a common feature of monopolistic competition?

• Homogeneous products

• No barriers to entry

• Product differentiation

• Single seller

Which type of business structure is most likely to have a single owner making all decisions?

• Corporation

• Partnership

• Sole proprietorship

• Cooperative