What is the disadvantage of being a sole proprietorship firm owner? A. Personal Control B. Easy Formation C. Unlimited Liability D. Faster Decision Making
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- Why would someone put up a sole proprietorship? A)All options are correct B)To take control of all the aspects of the business C)To enjoy all profits that can be made from the business D)To make all decisions regarding the businessGiven is a doctor who is forming her own medical practice. She wants her practice to be flexible , simple to run , and free from required meetings , minutes or resolutions . Her goal is to blend the best characteristics of corporations , partnerships and sole proprietorships . What form of business ownership seems most in-line with Gwen’s goals ? A)C corporation B)cooperative C)joint venture D)limited liability company E)S corporation1. Bernice owns her own local gift shop. She acquired the necessary loans to open it, assumes all the financial risks herself, and makes all the decisions. It sounds like Bernice's business is a/an A. franchise. B. partnership. C. corporation. D. sole proprietorship.
- What are the advantages and disadvantages of having an active board of directors? Who should sit on the board, and what should the founders expect the directors to do?What are the different forms of ownership that a business can adopt, and what are the advantages and disadvantages of each form? Additionally, how can an organization select the most appropriate form of ownership for its specific needs and objectives, and what are some of the key factors that should be considered in making this decision?In your opinion, what are the main advantages and disadvantages of organizing a firm as a corporation? If you were starting a business, would you use this option and why?
- Explain the concept of “stakeholder management” in a publicly held corporation. Why shouldn’t managers be solely interested in stock-holder management, that is, maximizing the returns for owners of the firm – its shareholders? Explain the impact and include the zero- sum and symbiosis roles of stakeholder management in your answerWhat are the differences between shareholder wealth maximization and profit maximization? If a firm chooses to pursue the objective of shareholder wealth maximization, does this preclude the use of profit maximization decision-making rules? Explain.Juan wants to be involved in business. He has plenty of capital to invest, but he does not want to be involved in management. He also does not want to worry about fluctuations in the market prices of debt and equity instruments. Which form of business would be best for Juan? A. General partnership B. Sole proprietorship C. LLC D. Corporation
- If you were to become a partner in a limited partnership, which would you prefer: being a general partner or being a limited partner? Explain your answer in 3 to 5 sentences only.4) The decision-making process in a partnership tends to be faster when A) there are numerous partners who all want to solely control the management of the 4) business. B) there are few partners and all of them are involved in the day-to-day activities of the business. C) the partnership is a domestic corporation with numerous partners. D) there are numerous partners, and the firm has issued public stock. E) the partnership is a foreign corporation that conducts its business outside the state in which it was incorporated.Profit maximization pupose cannot be an ideal basis for making business decision because of a. Focus only on Accounting Profits ob. Failure to consider risk C. All of the above d. Lack of time dimension