Business Organizations

Which is ONE disadvantage of Sole Proprietorship?

• Less direct control
• Disagreements
• Hard to raise money

The American Red Cross is an example of a(n) __________ corporation.

• hybrid
• nonprofit
• “S”
• “C”

Which business type has the most sales in the USA?

• Sole Proprietorship

• Partnership

• Corporation

Walmart is an example of what type of business organization?

• Sole Proprietorship
• Partnership
• Corporation

The reason for the end of the sole proprietorship business can be?

• Insolvency

• Death

• Insanity or illness

• All the above

What is a corporation?

• one owner, tend to be small

• two ore more owners, tend to be small and not employees

• legal entity, maybe large or small

• legal entity, tends to be be similiar to a proprietorship in the eyes of the law

The most POPULAR business model in the United States today is

• partnership

• sole proprietorship

• limited liability corporation

• corporation

Which business type gives the owner (s) the most FREEDOM?

• general partnership

• sole proprietorship

• corporation

• limited liability corporation

The main advantage of incorporating a company is

• the secrecy of business information

• freedom from excessive taxes

• ease of information

• limited personal liability

What important disadvantage outweighs the many advantages of both the sole proprietorship and the partnership?

• limited management skills

• lack of accountability

• lack of independence

• unlimited financial liability