Quiz on Forms of Business Ownership

What type of ownership is owned by one person?

• Corporation

• Partnership

• Cooperative

• Sole Proprietorship

Who makes all the decisions in a Sole Proprietorship?

• The partners

• The board of directors

• The shareholders

• The owner

In a Partnership, how many people are involved?

• One

• Two or more

• Many

• Three

What is a key feature of a Corporation?

• Takes all the risk

• Limited liability

• Owner keeps all profit

• Easy to start

What do partners in a Partnership do?

• Share work and profit

• Make all decisions alone

• Take all the risk

• Keep all profits

What is a characteristic of a Sole Proprietorship?

• Can raise a lot of money

• Run by directors

• Takes all the risk

• Usually large in size

Who owns a Corporation?

• One person

• Two people

• Many people (shareholders)

• A single family

What is a benefit of being a Sole Proprietor?

• Keeps all profit

• Can raise a lot of money

• Support from partners

• Limited liability

What is a disadvantage of a Sole Proprietorship?

• Share work

• Limited liability

• Takes all the risk

• Easy to start

What do shareholders do in a Corporation?

• Make all decisions

• Run the business

• Own shares

• Take all the risk