5 Written questions
5 Matching questions
- business format franchise
- S corporation
- general partnership
- institutional investor
- a A broad franchise agreement in which the franchisee pays for the right to use the name, trademark, and business and production methods of the franchisor.
- b An organization that pools contributions from investors, clients, or depositors and uses these funds to buy stocks and other securities
- c A form of business ownership in which the business is considered a legal entity that is separate and distinct from its owners
- d A form of corporation that avoids double taxation by having its income taxed as if it were a partnership.
- e A voluntary agreement under which two or more people act as co-owners of a business and have unlimited liability for any claims against the firm
5 Multiple choice questions
- The document filed with a state government to establish the existence of a new corporation.
- The basic rules governing how a corporation is organized and how it conducts its business
- The most common type of business corporation, where ownership offers limited liability to all of its owners, also called stockholders.
- a licensing agreement wherebu a franchisor allows franchisees to use its name, trademark, products, business methods and other property in exchange for monetary payments and other consideration
- The party in a franchise relationship that pays for the right to use resources supplied by the franchisor
5 True/False questions
statutory close corporation → A corporation with a limited number of owners that operates under simpler, less formal rules than a C corporation.
limited liability company → A form of business ownership that offers both limited liability to its owners and flexible tax treatment
franchise disclosure document (FDD) → The contractual arrangement between a franchisor and franchisee that spells out the duties and responsibilities of both parties.
franchise agreement → The party in a franchise relationship that pays for the right to use resources supplied by the franchisor
divestiture → The transfer of total or partial ownership of some of a firm's assets to investors or to another company