Business Questions

LLC's are considered to have operational flexibility because while they must submit articles of organization, they are not required to:

Because owners are only responsible for losses up to the amount they have invested in a corporation, limited liability is considered:

Corporations can raise large amounts of money, take advantage of economies of scale, and hire experts in all areas of operation. This can be summarized as ______ advantage.

Ed has decided to purchase and follow a business format by becoming a franchisee. The ___________ he will sign gives him the right to use the business name and sell the products of the firm.

A unique government creation that looks like a corporation but is taxed like a sole proprietorship or partnership is called a(n) ________ corporation

Taryn and Eilysh have decided to form a partnership. Taryn will not have management responsibility, but will invest money in the business. Taryn will be considered a(n) ________ partner.

An S corporation has the liability protections of a corporation but is taxed:

Limited liability, choice of taxation, flexible ownership rules, and operating flexibility are all advantages of a(n) _______ company

True or false: Corporations must be large in size to benefit from the advantages of incorporating.

hen there is one or more general partners and one or more limited partners, the firm is a(n):

The responsibility for a loss only up to the amount invested is ______ liability

Studies have indicated that partnerships are four times more likely to succeed than:

Selling shares of stock to anyone allows a _________ to raise more money to grow.

True or false: Partnerships are less likely to survive than sole proprietorships.

When you own a sole proprietorship you and the business are considered one, so you have ________ liability for financial obligations such as debt.

A corporation is a legal _______ with authority to act and have liability separate from its owners.

For a business to grow, prosper, and create economic opportunity, many people have to be willing to invest money in it. An advantage of a corporation is its ability to raise money through the sale of

Select those items considered fringe benefits that people working for a company are likely to receive, but a sole proprietor has to develop on his own:

One of the most important advantages of the sole proprietor form of ownership is that a business owner:

Unlimited liability as it relates to sole proprietorships is the risk of loss of _______ , assets beyond the assets of the business.