Types of Business Organizations Quiz

Which type of business provides intangible goods or services to customers?

What is the primary source of revenue in a merchandising business?

What form of business ownership is usually adopted by small business entities?

In which form of business does the owner face unlimited liability for the debts and obligations of the company?

Which type of business converts raw materials into finished products for sale to customers?

What is the main characteristic of a sole proprietorship?

What is the main characteristic of a sole proprietorship?

How are profits or losses typically shared in a general partnership?

What is a potential disadvantage of a corporation in terms of taxation?

In a limited partnership, what protection do the limited partners have?

What is the main role of the board of directors in a corporation?

Which business organization involves owners with limited liability but limited involvement in company operations?

What represents ownership in a stock corporation?

What is the minimum number of persons required to form a partnership?

In a general partnership, who can actively participate in the management of the business?

What characteristic indicates that a corporation is considered a separate legal entity from its owners?