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Types of Organizations

Total questions: 13

Worksheet time: 17mins

Name
Class
Date
1.

Income from a sole proprietorship is

a)

not taxed

b)

taxed twice

c)

taxed three times

d)

taxed once

2.

One of the disadvantages of having a partnership is .

a)

double taxations

b)

high startup costs

c)

tax on dividends

d)

unlimited liability

3.

A major advantage for having a corporate is having _____________ liability

a)

unlimited

b)

restricted

c)

limited

d)

unrestricted

4.

A contractual agreement to use the name and sell the products or services of a company in a designated geographic area is called a___________

a)

Franchise

b)

Cooperative

c)

Non for profit

d)

Corporation

5.

An organization that is owned and operated by its members is a_________________________

a)

Corporation

b)

Cooperative

c)

Franchize

d)

Non for profit organization

6.

The easiest way to organize a business is as a___________

a)

Corporation

b)

sole proprietorship

c)

partnership

d)

Franchise

7.

Which is NOT an advantage of forming a corporation?

a)

The company continues even after one owner dies.

b)

There is limited liability for the founder

c)

Raising capital for startup is easier.

d)

Profits are taxed twice: at the corporate level and at the shareholder level.

8.

In order to become a corporation, what must a business have?

a)

over 500 employees

b)

double taxation

c)

a corporate charter

d)

stock certificates

9.

Which business structure contains both the benefits of a small business and a corporation?

a)

Cooperative

b)

Car Sharing

c)

Franchise

d)

non for profit organization

10.

Nonprofit organizations

a)

focus on providing services rather than making a profit.

b)

outnumber sole proprietorships in the United States.

c)

must still pay taxes.

d)

do not register with the government.

11.

All of these are examples of (a)  

12.

Compare and Contrast partnerships and corporations using real life examples for each

4 lines
13.

If you will open an organization, which type of organizations will you start and explain why?

4 lines