Question 1
2 out of 2 points
All partnerships must have:
Question 2
2 out of 2 points
The most common form of business ownership is the:
Question 3
2 out of 2 points
In a joint venture, individuals join together in
co-ownership for:
Question 4
2 out of 2 points
Which of the following is a disadvantage of the corporation
form of ownership?
Question 5
2 out of 2 points
A partnership is:
Question 6
2 out of 2 points
The limited liability company is most like a(n):
Question 7
2 out of 2 points
Acme Corporation is chartered in Delaware, but its primary
area of operation is in South Carolina. In South Carolina, Acme would be
considered a(n) ________ corporation.
Question 8
2 out of 2 points
Which type of ownership is not subject to federal taxation?
Question 9
2 out of 2 points
The primary reason entrepreneurs choose to incorporate is
because of:
Question 10
0 out of 2 points
The most critical disadvantage of the sole proprietorship
is:
Question 11
2 out of 2 points
The ________ is a document that states in writing all of the
terms of operating the partnership for the protection of each partner involved.
Question 12
2 out of 2 points
________ corporations have shares that are controlled by a
relatively small number of people – family members, relatives, or friends.
Question 13
2 out of 2 points
A limited partnership is a modification of a(n) ________
form of ownership.
Question 14
2 out of 2 points
Common ownership interest in a business, sharing profits (or
losses) of a business, and the right to participate in managing the operations
of the business are characteristics of a(n):
Question 15
2 out of 2 points
Probably the most important feature of a partnership
agreement is:
Question 16
2 out of 2 points
Territorial protection in franchising:
Question 17
2 out of 2 points
The biggest challenge facing the growth of new franchises
is:
Question 18
2 out of 2 points
The primary advantage of buying a franchise over starting
your own company is:
Question 19
2 out of 2 points
When it comes to purchasing products, equipment, etc., the
franchiser:
Question 20
2 out of 2 points
When the franchisee has the right to establish a
semi-independent organization in a particular territory to recruit, sell, and
support other franchises, it is called a ________ franchise.
Question 21
2 out of 2 points
The failure rate for franchises is:
Question 22
2 out of 2 points
Another term for cobranding franchising is:
Question 23
2 out of 2 points
________ franchising involves providing the franchisee with
a complete business system–the established name, the building layout and
design, accounting systems, etc.
Question 24
2 out of 2 points
When buying a franchise, the potential franchisee should
first:
Question 25
2 out of 2 points
There are two main risks in purchasing a franchise. First,
that of the franchiser’s experience and business system, and second:
Question 26
2 out of 2 points
The ________ requires all franchisers to disclose detailed
information on their operations at the first personal meeting or at least
fourteen days before a franchise contract is signed or any money is paid.
Question 27
2 out of 2 points
When it comes to financial assistance for franchisees, the
franchiser often:
Question 28
2 out of 2 points
The primary market for U.S. franchisers is:
Question 29
2 out of 2 points
Franchise advertising programs:
Question 30
2 out of 2 points
In franchising, the reputation of the franchiser is
dependent on:
