Directions: Using the the forms of business organizations listed, complete the staterments beloe. Write the letter of the tem you have chosen in the space provided. S. Sole Proprietorship P. Partnership с. Сoгрогation 0. Owned by a single individual 1. Often formed when the need for capital is greater than one person can invest 2. Must have a charter to operate as an organization 3. Usually enters into a written legal agreement before operating the business 4. Owners share in the risks and the profits 5. Advantages related to its freedom of operations and simplicity 6. A form of business organization used by large accounting firms 7. Recognized by law to have a life of its own 8. Shares of stock represent an individual's investment and percentage of ownership 9. May have to follow more regulations and pay higher taxes 10. Success or failure of the business depends heavily on the efforts of the owner PART C Entrepreneurship. Directions: Read cach of the following statements to determine whether the statement is true or false. Answer F 0. Each person in a business organization has a different role. 1. Entrepreneurs seek opportunities that other people do not seem to pursue. 2. To be an entrepreneur you do not need to worry about good writing or verbal skills. 3. Entrepreneurs do not get to choose the people they work with. 4. To be an entrepreneur you have to work long hours and be a self-starter. T PART D Financial and Management Accounting Directions: Read cach of the foliowing statemerts to determive whetler the statement is true or false. Answer (F. 0. Management accounting focuses on reports based on GAAP. 1. Financial accounting prepares reports for people directly involved in day-to-day operations. 2. Management accounting is often referred to as accounting for internal users of information. TF 3. People with an indirect interest in a business would use reports based on GAAP. F 4. Financial accounting reports are for people thinking of investing money in a business. T F 5. Management accounting helps determine whether business results match the business plan.