PBMF Fall Semester Exam Review

What is the primary aim of a for-profit company?

• To back community projects

• To generate profit

• To create job opportunities

• To encourage cultural diversity

Which type of organization prioritizes a specific mission or cause?

• A for-profit corporation

• A nonprofit organization

• A service-based business

• A producer company

What type of business focuses on extracting raw materials?

• Manufacturer

• Distributor

• Extractor

• Retailer

Identify a service-oriented business example:

• A salon

• A real estate developer

• A manufacturing plant

• A legal consultancy

What role does the NAICS play?

• Assessing company finances

• Categorizing industries

• Enforcing business regulations

• Tracking consumer trends

A business that connects producers to consumers is called:

• A retailer

• An extractor

• A manufacturer

• A service provider

A sole proprietorship is:

• Owned by one individual

• A partnership

• A corporation

• A cooperative

What term describes a company owned by multiple individuals?

• Sole proprietorship

• Corporation

• Partnership

• Franchise

What is a primary benefit of forming a corporation?

• Reduced liability for owners

• Simpler taxation

• Ease of starting up

• Minimal rules and regulations

What does LLC represent?

• Limited Legal Corporation

• Limited Liability Company

• Local Liability Cooperative

• Legal Liability Corporation