INTRODUCTION TO ENTREPRENEURSHIP
DEFINITION OF ENTREPRENEURSHIP
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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C Corporation
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Limited Partnership
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Nonprofit
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None of the above
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Detailed explanation-1: -Limited liability company (LLC): This is a hybrid of a corporation and partnership. Also, the lifespan of the company is limited, but it can be expanded by a vote.
Detailed explanation-2: -The personal assets of the shareholder are not in jeopardy. Lifespan of the business refers to what happens to the business when an owner leaves or dies. Limited life means the business closing or reorganizing a business under the new owner(s) when the previous owner(s) leave the business.
Detailed explanation-3: -A corporation is a legal entity that’s separate from the parties who own it, the shareholders who invest by buying shares of stock. Corporations are governed by a Board of Directors, elected by the shareholders. Advantages include: limited liability, easier access to financing, and unlimited life for the corporation.