Multiple Choice - Forms of Business Organization

Which form of business organization is owned and controlled by only one person?

• Corporation

• Partnership

• Sole Proprietorship

• Cooperative

Which form of business has a legal personality separate from its owners?

• Sole Proprietorship

• Partnership

• Corporation

• Cooperative

Which business type is typically easiest and least expensive to establish?

• Corporation

• Sole Proprietorship

• Cooperative

• Partnership

Which form of business allows owners to share profits and losses based on their agreement?

• Partnership

• Corporation

• Sole Proprietorship

• Multi-national firm

Stockholders are the owners of a:

• Partnership

• Cooperative

• Corporation

• Sole Proprietorship

Which form of business requires at least two persons who agree to contribute money, property, or services?

• Sole Proprietorship

• Partnership

• Corporation

• Cooperative

Members who use the services of the business usually own and manage which type?

• Sole Proprietorship

• Cooperative

• Corporation

• Partnership

Unlimited liability applies to which business form?

• Corporation

• Sole Proprietorship

• Partnership
  
  

• Cooperative

Which business form is most capable of raising large amounts of capital?

• Corporation

• Partnership

• Sole Proprietorship

• Cooperative

GAAP stands for:

• General Accounting and Auditing Principles

• Generally Accepted Accounting Principles

• Government Approved Accounting Practices

• General Agreement on Accounting Policies