B.E. Chapter 7 - Types of Business Ownership

One of the benefits of setting up a LLC, is

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

Which type of corporate form is expensive to set up?

When profits remain within the corporation it is a

The law requires that all partnerships have

The principle disadvantage of a sole proprietorship is

A corporation can live beyond the life of its founders.

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

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

The sole proprietorship offers the owner protections from liability.

Liability protection is another term for

A hybrid legal form for a business is called

How can a nonprofit business benefit an owner?

An unincorporated business with two or more partners is called a

A partner who risks his or her own investment.

A business that is owned and operated by one person.

If you are going to hire employees, you must obtain an EIN which comes from the

Corporate owners are called

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

The biggest disadvantage of a sole proprietorship is the owner

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

One major type of corporation is a

One of the disadvantages of a partnership is

A legal form that avoids double taxation.

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

A Subchapter S corporation is

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

All partners must sign every contract in a general partnership.

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

A legal entity that makes money for reasons other than profit for the owner(s) is