3.1 Business Organization Quiz

What is the most common form of business organization?

• Corporation

• Partnership

• Sole proprietorship

• Cooperative

In the U.S., most businesses today are related to which sector?

• Manufacturing

• Agriculture

• Service

• Mining

What is a sole proprietorship?

• A business owned by multiple partners

• A business owned and managed by a single individual

• A business owned by shareholders

• A business owned by the government

What are the three categories of partnerships mentioned in the document?

• General Partnership, Limited Partnership, Limited Liability Partnership

• Sole Proprietorship, Corporation, Franchise

• Joint Venture, Cooperative, Nonprofit

• Partnership, Corporation, Sole Proprietorship

In a general partnership, how do partners share responsibility and liability?

• Equally

• Unequally

• Based on investment

• Not shared

What is a key characteristic of a limited partnership?

• Only one partner is required to be a general partner

• All partners have unlimited liability

• No partners have liability

• All partners are general partners

What distinguishes a limited liability partnership from other types of partnerships?

• All partners are limited partners

• Only one partner has liability

• Partners do not share profits

• It is the oldest form of partnership

What is a corporation?

• A type of government agency

• A legal entity owned by individual stockholders

• A small family-owned business

• A non-profit organization

What do stocks represent in a corporation?

• A corporation's debt

• A stockholder’s portion of ownership

• A corporation's annual revenue

• A corporation's liabilities

What is a publicly held corporation?

• A corporation that operates in secret

• A corporation that buys and sells its stock on the open market

• A corporation owned by the government

• A corporation that does not issue stocks