Podcast
Questions and Answers
What is a key characteristic of a sole proprietorship in terms of liability?
What is a key characteristic of a sole proprietorship in terms of liability?
- Liability protection
- Limited liability
- Unlimited liability (correct)
- Shared liability
In a general partnership, how many individuals are required to come together to establish the business?
In a general partnership, how many individuals are required to come together to establish the business?
- Only one
- Three or more
- At least five
- Two or more (correct)
What type of legal entity is a general partnership?
What type of legal entity is a general partnership?
- Unincorporated entity (correct)
- Corporation
- Sole proprietorship
- Independent legal entity
What level of control does a sole proprietor have over business decisions?
What level of control does a sole proprietor have over business decisions?
What type of liability do individual partners have in a general partnership?
What type of liability do individual partners have in a general partnership?
Which legal structure provides owners with protection from legal liabilities for injuries?
Which legal structure provides owners with protection from legal liabilities for injuries?
In terms of liability, how does a general partnership compare to a corporation?
In terms of liability, how does a general partnership compare to a corporation?
Which type of legal entity is a corporation?
Which type of legal entity is a corporation?
What characteristic allows owners in a corporation to enjoy limited liability?
What characteristic allows owners in a corporation to enjoy limited liability?
What type of liability does a sole proprietor face in their business?
What type of liability does a sole proprietor face in their business?
Which type of legal structure allows for complete control over business decisions?
Which type of legal structure allows for complete control over business decisions?
In a general partnership, how is liability distributed among individual partners?
In a general partnership, how is liability distributed among individual partners?
What characteristic distinguishes a limited liability partnership from a general partnership?
What characteristic distinguishes a limited liability partnership from a general partnership?
Which legal entity offers owners the benefit of limited liability protection?
Which legal entity offers owners the benefit of limited liability protection?
What type of business structure provides owners with the potential for the highest financial benefits?
What type of business structure provides owners with the potential for the highest financial benefits?
Which form of business structure involves a legal separation between the owner and the business?
Which form of business structure involves a legal separation between the owner and the business?
In which type of business structure can owners collectively enter into legally binding contracts?
In which type of business structure can owners collectively enter into legally binding contracts?
What is a key disadvantage of a general partnership compared to a corporation?
What is a key disadvantage of a general partnership compared to a corporation?
What feature distinguishes a limited liability partnership from a limited partnership?
What feature distinguishes a limited liability partnership from a limited partnership?
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