Match each type of business with one of its features.




a. sole proprietorship unlimited liability




b. general partnership public regulation




c. public corporation stockholder control




d. government corporation collective decision making

Respuesta :

Answer:

Sole proprietorship: All profits retained

Partnership: Sharing of profits

Corporation: Profits paid out as dividends

Government corporation: No profits made

Explanation:

The correct match will be-

  • Sole proprietorship: stockholder control

  • General Partnership: unlimited liability

  • Public Corporation: collective decision making

  • Government corporation:  public regulation

What is a Sole proprietorship?

  • The sole proprietor has complete and total authority over the business. Before making decisions, there are no partners or shareholders to consult.
  • This organizational structure provides the proprietor with the greatest amount of freedom to run the business and respond quickly to day-to-day business needs.

How do you explain General Partnership: unlimited liability?

  • In a general partnership, partners agree to unlimited liability, which means that liabilities are not limited and can be paid by seizing an owner's assets.
  • Furthermore, any partner may be sued for the debts of the business.

How are decisions made in public companies?

  • People who buy stock in a publicly-traded company become shareholders and gain partial ownership of the company.
  • Shareholders elect executive board members who make high-level decisions about the company's direction.

What are the two primary ways in which the government regulates business?

  • The government regulates business by mandating safe working conditions and enforcing minimum wage laws.

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