cheeseman_buslaw7_tif_34

cheeseman_buslaw7_tif_34 - 34 SMALLBUSINESSES,...

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1) Ease and cost of formation have little to do with the selection of the form under which a business should operate. Answer: FALSE Diff: 1 Topic: Entrepreneurship 2) Amazon.com was an immediate success both at selling books and at making a profit. Answer: FALSE Diff: 1 Topic: Entrepreneurship 3) Amazon.com started out as a general partnership and was incorporated after several years of operation. Answer: FALSE Diff: 1 Topic: Entrepreneurship 4) Amazon.com is one of the largest, most recognized e-commerce companies in the world. Answer: TRUE Diff: 1 Topic: Entrepreneurship 5) An entrepreneur is a person who forms and operates a new business. Answer: TRUE Diff: 1 Topic: Entrepreneurship 6) Sole proprietorships are the most common form of business organization in the United States. Answer: TRUE Diff: 1 Topic: Sole Proprietorship 230 SMALL BUSINESSES,  ENTREPRENEURS, AND GENERAL  PARTNERSHIPS 34
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7) A large business can be operated as a sole proprietorship. Answer: FALSE Diff: 2 Topic: Sole Proprietorship 8) The shareholders are the owners in a sole proprietorship. Answer: FALSE Diff: 1 Topic: Sole Proprietorship 9) There are no disadvantages to doing business as a sole proprietorship. Answer: FALSE Diff: 1 Topic: Sole Proprietorship 10) State approval is needed in order to form a sole proprietorship. Answer: FALSE Diff: 2 Topic: Sole Proprietorship 11) A sole proprietor's access to capital is unlimited. Answer: FALSE Diff: 1 Topic: Sole Proprietorship 12) In most states a sole proprietorship that operates under a trade name must file with the appropriate state agency. Answer: TRUE Diff: 2 Topic: Sole Proprietorship 13) In order to use a fictitious name, a sole proprietorship must incorporate the business. Answer: FALSE Diff: 2 Topic: Sole Proprietorship 14) It is difficult to transfer or sell a sole proprietorship. Answer: FALSE Diff: 1 Topic: Sole Proprietorship 231
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15) A sole proprietorship is a separate legal entity from the sole proprietor. Answer: FALSE Diff: 1 Topic: Sole Proprietorship 16) If a person, operating a business as a sole proprietor, owes money to business creditors, those creditors may collect only from the assets of the business itself. Answer: FALSE Diff: 1 Topic: Sole Proprietorship 17) State approval is required when creating a sole proprietorship. Answer: FALSE Diff: 1 Topic: Sole Proprietorship 18) The purpose of requiring the filing of fictitious business names is to allow the public to know the true owner of businesses operating under fictitious names. Answer: TRUE Diff: 1 Topic: Sole Proprietorship 19) The "fictitious name statutes" require all sole proprietorships to file a statement indicating whether or not they use a trade name. Answer:
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cheeseman_buslaw7_tif_34 - 34 SMALLBUSINESSES,...

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