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Types of businesses

Total questions: 13

Worksheet time: 13mins

Name
Class
Date
1.
Which is NOT a basic type of business ownership?
a)
proprietorship
b)
partnership
c)
corporation
d)
retail
2.
A form of business organization with one owner who takes all the risks and all the profit is called - 
a)
partnership
b)
proprietorship
c)
corporation
d)
governorship
3.
A form of business organization with two or more owners who share the risks and the profits - 
a)
proprietorship
b)
corporation
c)
wholesale
d)
partnership
4.
A form of business organization that is authorized to act as a legal entity regardless of the number of owners. 
a)
corporation 
b)
proprietorship
c)
partnership
d)
distributor
5.
What kind of business is BEST described by these statements?
I am the only owner of my business. 
I take all the risks of doing business. 
I keep all the profits. 
a)
proprietorship
b)
corporation
c)
partnership
d)
cooperative
6.
What is a disadvantage of partnerships?
a)
ease of formation
b)
owners share responsibilities
c)
limited liability
d)
possibility of personality conflict
7.
How are sole proprietorships and partnerships alike?
a)
Contracts are needed to start the businesses.
b)
Owners have complete control of the business.
c)
Owners have limited legal liability.
d)
The businesses are owned by one person.
8.
How is a corporation different from a sole proprietorship?
a)
Corporations are owned by only one person
b)
Corporations can sell stock to raise money for the business. 
c)
Sole proprietorships have limited liability for the owners.
d)
Sole proprietorships require a legal charter to start the business.
9.

What is a corporate structure in the United States whereby the owners are not personally liable for the company's debts or liabilities?

a)

Manufacturing business

b)

Corporation

c)

Limited Liability Company

d)

Hybrid Business

10.

Commercial enterprise that dedicates itself to buying already made products and reselling them to make profit?

a)

Merchandising Business

b)

Limited Liability Company

c)

Partnership

d)

Service Business

11.

This business takes raw materials and mass produces goods. Usually it uses robots, computers, assembly lines, and human labor to make goods.

a)

Proprietorship

b)

Partnership

c)

Merchandising Business

d)

Manufacturing Business

12.

What kind of business specializes in performing services for the consumers?

a)

Corporation

b)

Service Business

c)

Hybrid Business

d)

Partnership

13.

What business is a combination of the traditional business firms and the internet? These businesses not only specialize in traditional methods of distribution, but also ways using different technology.

a)

Hybrid Business

b)

Merchandising Business

c)

Limited Liability Company

d)

Corporation