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Organization Structures & Accounting 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. Why is it a good idea to create a partnership agreement?

Question 2 2. Mary and Joanne would like to start their own jewelry business. They do not want to file a bunch of papers, but also do not want to be personally liable for debts incurred by the company. Which form of ownership should they pursue?

Question 3 3. How are taxes handled in a partnership form of business ownership?

Question 4 4. 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 5 5. What is the primary reason a business would decide to become a corporation over any other form of organization?

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Question 6 6. What is the difference between an S-corporation and a C-corporation?

Question 7 7. How is a sole proprietorship taxed?

Question 8 8. How does an owner incorporate a sole proprietorship?

Question 9 9. When is it necessary to file a Doing Business As form?

Question 10 10. What is the Statement of Activities for a nonprofit?

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Question 11 11. What type of taxes do a nonprofit pay?

Question 12 12. Which statement shows the spending of money on everyday things?

Question 13 13. Betty and Bert start a bicycle repair business. Betty gives Bert $50,000 to start the business but Betty won't be involved in business operations. Bert will run the business by himself. Which of the following is NOT true?

Question 14 14. Which of the following is NOT an aspect of a general partnership?

Question 15 15. Which of the following is NOT an aspect of a limited partnership?

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Question 16 16. Which of the following is the best explanation of the main difference or differences between a limited partner and a general partner?

Question 17 17. What type of partnership offers no protection from personal liability for the partners?

Question 18 18. Which one of the following do LPs, LLPS, and LLLPs have in common but is not a characteristic of a general partnership?

Question 19 19. A limited liability company is a hybrid of which two business structures?

Question 20 20. Which feature of a limited liability company is most like that of a corporation?

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Question 21 21. Which feature of a limited liability company is most like that of a partnership?

Question 22 22. What do not-for-profit organizations NOT have?

Question 23 23. Which U.S. government agency has publications and a look-up tool of different not-for-profits?

Question 24 24. What is a main difference between not-for-profits and for-profits?

Question 25 25. Which of the following actions results in piercing the corporate veil?

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Question 26 26. A corporation is taxed on its profits, and the owners are taxed on the income they receive from the corporation. What does this refer to?

Question 27 27. A corporation's owners are known as _____.

Question 28 28. If someone sues a sole proprietorship, who is responsible for the debt?

Question 29 29. How many times is the profit of a sole proprietorship taxed?

Question 30 30. What is a sole proprietorship?

Organization Structures & Accounting 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!

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