Unit 2 CF, BO, and MS Quizs

Run by a board of directors

• Partnership

• Sole Proprietorship

• Corporation

• Limited Liability Company

In pure (perfect) competition, the interaction of producers and consumers determines the market ________.

• COST

• VALUE

• PRICE

• SUPPLY

Who buys resources in the resource (factor) market?

• Consumers

• Governments

• Businesses

• Non-profit organizations

Has the LEAST competition

• Monopoly

• Oligopoly

• Perfect Competition

• Monopolistic Competition

This term means that a company's profits and the shareholders' dividends are taxed...

• Single Taxation

• Double Taxation

• Triple Taxation

• Corporate Taxation

List market structures in order from least to most control over price

• Monopoly

• Oligopoly

• Monopolistic Competition

• Perfect Competition

Two advantages corporations have over sole proprietorship

• easy to raise capital by selling stock

• unlimited liability

• difficult to transfer ownership

• personal tax benefits

Two advantages sole proprietorship has over corporation

• easy to manage

• limited liability protection

• ability to raise capital through stock

• no separate business taxes

This characteristic of a corporation protects the owners' personal wealth and property in the event of a lawsuit.

• Limited Liability

• Unlimited Liability

• Corporate Veil

• Personal Guarantee

What flows from households to businesses through the product market?

• Goods

• Services

• Revenue

• Labor