ENTREPRENEURSHIP

Previous
Next

INTRODUCTION TO ENTREPRENEURSHIP

CHARACTERISTICS OF AN ENTREPRENEUR

Question [CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
A legally defined type of business ownership in which the business is considered a “person” under the law, and limited liability is granted to the business owner(s).
A
sole proprietorship
B
partnernership
C
LLC
D
corporation
Explanation: 

Detailed explanation-1: -An LLC is a limited liability company, which is a type of legal entity that can be used when forming a business that offers protection to the owner(s) from personal liability for debts and other obligations that a business might incur.

Detailed explanation-2: -Sole Proprietorship This is a business run by one individual for their own benefit. It is the simplest form of business organization.

Detailed explanation-3: -The four main types of businesses are sole proprietorship, partnership, LLC and corporation.

Detailed explanation-4: -The most common forms of business are the sole proprietorship, partnership, corporation, and S corporation.

Detailed explanation-5: -An s corporation also known as subchapter S-corporation offers limited liability to the owners. S-corporations do not pay income taxes rather the earnings and profits are treated as distributions. The shareholders must report their income on their individual income tax returns.

There is 1 question to complete.
Previous
Next