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Forms of Business Test

Total questions: 25

Worksheet time: 13mins

Name
Class
Date
1.
This type of business is owned by stockholders.
a)
Sole proprietorship
b)
Partnership
c)
Corporation
d)
Franchise
2.
The type of business ownership in which all business decisions are the sole responsibility of the owner.
a)
Sole proprietorship
b)
Partnership
c)
Corporation
d)
Franchise
3.
This type of business organization makes it easier to secure financing because more than one person may apply for credit.
a)
Sole proprietorship
b)
Partnership
c)
Corporation
d)
Franchise
4.
Business form with only one owner
a)
Sole proprietorship
b)
Partnership
c)
Corporation
d)
Franchise
5.
This type of ownership offers quick startup, an established business plan, recognizable trademark/brand, and a proven promotional strategy.
a)
Sole proprietorship
b)
Partnership
c)
Corporation
d)
Franchise
6.
The Board of Directors control daily business operations for this type of business.
a)
Sole proprietorship
b)
Partnership
c)
Corporation
d)
Franchise
7.
Owners (or stockholders) of this type of organization enjoy limited liability.
a)
Sole proprietorship
b)
Partnership
c)
Corporation
d)
Franchise
8.
This type of partnership is less risky because this partner is only responsible for the contribution he/she has made to the partnership
a)
Sole proprietorship
b)
General Partnership
c)
Corporation
d)
Limited partnership
9.
Which of the following is an example of a franchise?
a)
McDonalds
b)
Lightcliffe Academy
c)
Sports Direct
d)
Primark
10.
Which of the following is an advantage of a partnership?
a)
Unlimited Liability
b)
Arguments
c)
Shared responsibility
d)
Less investors
11.
What is the most common form of business ownership?
a)
Corporation
b)
Company
c)
Sole Proprietorship
d)
LLC
12.

Business owned by two or more persons who share the risks and rewards.

a)

Partnership

b)

Stock

c)

Intermediary

d)

Sole Proprietorship

13.

Shares of ownership in a corporation

a)

Partnership

b)

Stock

c)

Intermediary

d)

Sole Proprietorship

14.

Business that acts as a go-between in moving goods from producers to consumers, such as wholesalers, retailers, and distributors

a)

Partnership

b)

Stock

c)

Intermediary

d)

Sole Proprietorship

15.

A business treated by law as separate from its owners

a)

Corporation

b)

Processors

c)

Manufacturers

d)

Unlimited Liability

16.

Business that change raw goods into more finished products

a)

Corporation

b)

Producers

c)

Manufacturers

d)

Unlimited Liability

17.

Businesses that make finished products out of raw processed goods

a)

Corporation

b)

Producers

c)

Manufacturers

d)

Unlimited Liability

18.

Full legal and financial responsibility for a business.

a)

Corporation

b)

Producers

c)

Manufacturers

d)

Unlimited Liability

19.

Financial responsibility of business owners only for what they invested in a business

a)

Franchise

b)

Non Profit Organization

c)

Cooperative

d)

Limited Liability

20.

A contractual agreement to use the name and sell the goods or services of an existing company

a)

Franchise

b)

Non Profit Organization

c)

Cooperative

d)

Limited Liability

21.

A business whose main purpose is to provide a service rather than to make a profit.

a)

Franchise

b)

Non Profit Organization

c)

Cooperative

d)

Limited Liability

22.

An organization of businesses owned and operated by the members who pool their resources and share the benefits.

a)

Franchise

b)

Non Profit Organization

c)

Cooperative

d)

Limited Liability

23.

A type of business that buys goods in large amounts and resells them to other businesses in smaller lots.

a)

Wholesaler

b)

Retailer

c)

Cooperative

d)

Limited Liability

24.

A business that sells goods or services directly to the public.

a)

Wholesaler

b)

Retailer

c)

Cooperative

d)

Limited Liability

25.

A business that sells goods or services directly to the public.

a)

Wholesaler

b)

Retailer

c)

Cooperative

d)

Limited Liability