True/False
Indicate whether the sentence or statement is true or
false.
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| 1. | There are three types of
corporations: Investor-Oriented, Cooperative and Partnership.
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| 2. | If a Partnership fails, you can
lose all that you’ve invested plus more.
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| 3. | Since Investor-Oriented
Corporations are considered ‘legal entities’, they have the right to own property,
provide services, borrow money and enter into contracts.
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| 4. | If the business fails, the
stockholder, not the corporation, is liable for all debts.
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| 5. | A corporation enjoys a
continuing existence, regardless of the death, entrance or exit of one or more of its
owners.
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| 6. | You are guaranteed a share in
the profits (however small they may be) everfy year if you invest in a Investor-Oriented Corporation
but you’re not guaranteed any profits if you are part of a Partnership.
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Multiple
Choice
Identify the letter of the choice that best completes the statement or answers the
question.
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| 7. | In an Investor-Oriented
Corporation, management is controlled by a. | the stock
holders. | c. | a Board of Directors. | b. | the owner. | d. | the President of the
Company. | | | | |
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Completion
Complete each sentence or statement.
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| | 8. | Money, equipment, etc. that is
used when starting and operating a business is the definition for
___________.
(make sure you spell the answer correctly)
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| | 9. | A business owned and controlled
by the people who use its services on a non-profit basis is the definition for a
_______________.
(make sure your answer is spelled correctly - 1 word answer required)
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| | 10. | When dealing with an
Investor-Oriented Corporation, _____________ stockholders don’t have voting rights at
stockholder’s meetings.
(your one-word answer must be spelled correctly)
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