5 Written questions
5 Matching questions
- general partnership
- statutory close corporation
- S corporation
- a 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
- b The party in a franchise relationship that pays for the right to use resources supplied by the franchisor
- c A corporation with a limited number of owners that operates under simpler, less formal rules than a C corporation.
- d 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
- e A form of corporation that avoids double taxation by having its income taxed as if it were a partnership.
5 Multiple choice questions
- When owners are not personally liable for claims against their firm. Limited liability owners may lose their investment in the company, but their personal assets are protected.
- The transfer of total or partial ownership of some of a firm's assets to investors or to another company
- A form of partnership in which all partners have the right to participate in management and have limited liability for company debts.
- A detailed description of all aspects of a franchise that the franchisor must provide to the franchisee at least 14 calendar days before the franchise agreement is signed.
- A combination of two firms that are in unrelated industries.
5 True/False questions
franchise agreement → The contractual arrangement between a franchisor and franchisee that spells out the duties and responsibilities of both parties.
board of directors → A form of business ownership in which the business is considered a legal entity that is separate and distinct from its owners
horizontal merger → A combination of two firms that are in the same industry
institutional investor → An organization that pools contributions from investors, clients, or depositors and uses these funds to buy stocks and other securities
limited partnership → 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