Business Structure Alice

Which of the following best describes a partnership?

• A business owned and operated by one person.

• A business where the liability is limited to the amount invested.

• A business owned by two or more people who share profits and losses.

• A business that is considered a separate legal entity.

This type of business is owned by many people called stockholders.
(a)  

• Corporation

• Sole Proprietorship

• Partnership

• Franchise

Disadvantages for this type of business include: the owner pays for everything, hard to get money to start from the bank, the owner might lack skills & unlimited liability.

• sole proprietorship

• franchise

• corporation

• partnership

What is a sole proprietorship?

• A business owned by one person

• A business owned by two or more people

• A business that is a separate legal entity

• A business with limited liability

Which business structure is considered a separate legal entity?

• Sole proprietorship

• Partnership

• Corporation

• Franchise

What is a key characteristic of a partnership?

• Limited liability

• Owned by one person

• Shared profits and losses

• Separate legal entity

Which of the following is a disadvantage of a sole proprietorship?

• Limited liability

• Easy to raise capital

• Unlimited liability

• Shared decision making

What is a corporation?

• A business owned by one person

• A business owned by two or more people

• A separate legal entity owned by shareholders

• A business with unlimited liability

Which business structure allows for easy transfer of ownership?

• Sole proprietorship

• Partnership

• Corporation

• Cooperative

What is a franchise?

• A business owned by one person

• A business model that allows individuals to operate a branch of a larger company

• A business owned by two or more people

• A separate legal entity