Types of Businesses Practice

What is the number of owners in a sole proprietorship?

• One

• Two

• Three

• Unlimited

Which form of business organization has limited liability for its owners?

• Sole Proprietorship

• Partnership

• Corporation

• All of the above

In which form of business organization does the business typically end upon the death of an owner?

• Sole Proprietorship

• Partnership

• Corporation

• None of the above

Which form of business organization allows for the easiest decision-making process?

• Sole Proprietorship

• Partnership

• Corporation

• All of the above

Compare the taxation of a sole proprietorship and a corporation. Which one is subject to double taxation?

• Sole Proprietorship

• Partnership

• Corporation

• None of the above

Which form of business organization is most likely to have a perpetual lifespan?

• Sole Proprietorship

• Partnership

• Corporation

• All of the above

Analyze the decision-making process in a partnership. How does it differ from a corporation?

• Decisions are made by a single owner

• Decisions require agreement among partners

• Decisions are made by a board of directors

• Decisions are made by shareholders

Evaluate the liability differences between a partnership and a corporation. Which one offers more protection to its owners?

• Partnership

• Corporation

• Both offer the same level of protection

• Neither offers protection