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Forms of Business Ownership Chapter Exam

Exam Instructions:

Choose your answers to the questions and click 'Next' to see the next set of questions. You can skip questions if you would like and come back to them later with the yellow "Go To First Skipped Question" button. When you have completed the practice exam, a green submit button will appear. Click it to see your results. Good luck!

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Question 1 1. Which of the following businesses represents a sole proprietorship?

Question 2 2. What happens if a sole proprietorship takes on a second owner?

Question 3 3. What tactic is employed by a target company if it attempts to dilute the value of the shares held by the acquiring company?

Question 4 4. A producer and consumer cooperative where both employees and customers own and control the business is called a:

Question 5 5. What type of partnership offers no protection from personal liability for the partners?

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Question 6 6. Which of the following is a unique challenge to taking a franchise global?

Question 7 7. A business organization that is considered a separate entity from its owners (shareholders) is called:

Question 8 8. With whom are articles of incorporation filed to form an LLC?

Question 9 9. Tyler is the sole owner and stockholder of the corporation, Tyler's Tires. Two years ago, Tyler's Tires hired Anna as the CEO. If Tyler dies, what happens to Tyler's Tires?

Question 10 10. Which one of the following is the partnership document that governs the rights and responsibilities of the partners?

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Question 11 11. How much protection from liability does a sole proprietorship offer?

Question 12 12. Which one of the following is a primary reason many cooperatives are organized?

Question 13 13. Which of the following tactics would a target company use when it acts to make itself unattractive, such as by spending all of its cash reserves or going into heavy debt?

Question 14 14. Which of the following is the best explanation of a cooperative?

Question 15 15. In a franchise, the party giving the license is called the:

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Question 16 16. What is the difference between an S-corporation and a C-corporation?

Question 17 17. Which of the following businesses cannot be a cooperative?

Question 18 18. A exists when two or more people own a business.

Question 19 19. Which one of the following is NOT a way that a Limited Liability Company is like a corporation?

Question 20 20. The form of business where there is only one owner, and there is no legal distinction between the business and the owner is called:

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Question 21 21. What type of partnership has a general partner who has full liability and a limited partner whose liability is limited to their investment in the partnership?

Question 22 22. Which type of organization has characteristics of both partnerships and corporations?

Question 23 23. A sole proprietor is liable for the debts, contracts, wrongful acts and negligent acts resulting from their business.

Question 24 24. Which of the following governs the relationship between a franchisee and a franchisor?

Question 25 25. What's the name of the tactic a target company uses when it offers lucrative severance packages to regular employees?

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Question 26 26. In a limited partnership, the general partner _ the partnership and limited partners _.

Question 27 27. Which one of the following is not a characteristic of a consumer cooperative?

Question 28 28. Which of the following describes the income tax treatment for a sole proprietorship?

Question 29 29. What are very generous severance packages offered to management if they lose their jobs because of a takeover?

Question 30 30. Which type of cooperative is owned and controlled by customers?

Forms of Business Ownership Chapter Exam Instructions

Choose your answers to the questions and click 'Next' to see the next set of questions. You can skip questions if you would like and come back to them later with the yellow "Go To First Skipped Question" button. When you have completed the practice exam, a green submit button will appear. Click it to see your results. Good luck!

Business 100: Intro to Business  /  Business Courses
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