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Chapter 2: Understanding Characteristics of Business

Total questions: 14

Worksheet time: 10mins

Name
Class
Date
1.

A business owned and operated by a single individual

a)

sole proprietorship

b)

partnership

c)

corporation

d)

limited liability company

e)

general partnership

2.

A form of business owned by two or more individuals who share management and profits

a)

limited liability company

b)

corporation

c)

partnership

d)

sole proprietorship

e)

s-corporation

3.

A business owned by stockholders who share in profits and losses

a)

partnership

b)

corporation

c)

sole proprietorship

d)

general partnership

e)

franchise

4.

Type of ownership that joins elements of a corporation and a partnership

a)

partnership

b)

corporation

c)

limited liability company

d)

franchise

e)

sole proprietorship

5.

An organization that generates income for its owners

a)

Non-profit

b)

manufacturer

c)

board of directors

d)

perfect competition

e)

profit business

6.

A company that is created to benefit a public interest; does not earn profits for its owners

a)

Non-profit

b)

marketer

c)

perfect competition

d)

oligopoly

e)

franchise

7.

A business model where the owner of a company grants another business owner the right to use the owner company's name

a)

corporation

b)

partnership

c)

franchise

d)

limited liability company

e)

s-corporation

8.

Businesses that extract natural resources from the earth for use in the creation of goods.

a)

Manufacturer

b)

Wholesaler

c)

Non-profit

d)

Extractor

e)

Service business

9.

Businesses that use raw materials to create goods.

a)

Extractor

b)

Manufacturer

c)

Service Business

d)

Wholesaler

e)

Marketer

10.

Businesses that provide services to the economy, rather than goods.

a)

Extractor

b)

Manufacturer

c)

Service business

d)

Wholesaler

e)

Marketer

11.

Businesses that purchase a vast amount of goods from manufacturers to sell them to other businesses

a)

Extractor

b)

Manufacturer

c)

Service business

d)

Wholesaler

e)

Marketer

12.

A group of people elected by stockholders who make decisions for a corporation.

a)

Extractor

b)

Board of Directors

c)

Employees

d)

Profit business

e)

Corporation

13.

A person who owns stock in a corporation

a)

employee

b)

franchise

c)

general partnership

d)

stockholder

e)

customer

14.

Businesses that buy products from wholesalers and then increase the price of the goods to resell them.

a)

Wholesalers

b)

Manufacturers

c)

Service Businesses

d)

Extractors

e)

Retailers