Chapter 7 - Types of Business Ownership

Corporate owners are called

A nonprofit corporation makes money primarily for the owner's profit.

Which of the following would not be a reason to choose a corporate form?

A Subchapter S corporation is

The law requires that all partnerships have

A business that is owned and operated by one person.

The biggest disadvantage of a sole proprietorship is the owner

How can a nonprofit business benefit an owner?

An unincorporated business with two or more partners is called a

Full responsibility for all the debts and actions of a business is a 

A partner who risks his or her own investment.

Which of the following would not be one of the things needed for a partnership surviving?

The sole proprietorship offers the owner protections from liability.

One of the benefits of setting up a LLC, is

One major type of corporation is a 

A limited partner has no say over the management of the business.

Liability protection is another term for 

When you use your own name for the business, you need a 

The principle disadvantage of a sole proprietorship is 

Which type of corporate form is expensive to set up?

A corporation can live beyond the life of its founders.

What is one of the main advantages of creating a Sole Proprietorship?

A legal form that avoids double taxation.

What is the term for the most common business organization involving more than one owner?

When profits remain within the corporation it is a 

A hybrid legal form for a business is called