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Worksheets

Business Structures and Legal Requirements

Total questions: 10

Worksheet time: 5mins

Name
Class
Date
1.

What is the easiest business structure to choose?

a)

Sole proprietorship

b)

Partnership

c)

Corporation

d)

Nonprofit corporation

2.

Which business structure provides limited liability?

a)

Sole proprietorship

b)

Partnership

c)

Corporation

d)

Cooperative

3.

Which business structure allows you to sell stock to the public?

a)

Sole proprietorship

b)

Partnership

c)

Corporation

d)

Limited liability company

4.

Which business structure focuses on social good?

a)

Sole proprietorship

b)

Partnership

c)

Benefit corporation

d)

Limited liability company

5.

Which business structure is a hybrid of a corporation and partnership?

a)

Sole proprietorship

b)

Partnership

c)

Corporation

d)

Limited liability company

6.

Which business structure is owned by the people using it?

a)

Sole proprietorship

b)

Partnership

c)

Corporation

d)

Cooperative

7.

Which business structure is tax-exempt and does charity work?

a)

Sole proprietorship

b)

Partnership

c)

Corporation

d)

Nonprofit corporation

8.

What is the first step to register a business in the U.S.?

a)

Obtain an Employer Identification Number

b)

Register with the Secretary of State

c)

Apply for a business license

d)

File taxes

9.

What is the advantage of choosing a partnership over a sole proprietorship?

a)

Limited liability

b)

Ability to sell stock

c)

Easier tax filing

d)

More protection for personal assets

10.

What is the main drawback of a sole proprietorship?

a)

Limited liability

b)

Difficulty in raising investment money

c)

Complex paperwork

d)

Double taxation