Exam 5: Forms of Business Ownership and Organization

The firm's mission and goals are identified in its business plans.

Owners of preferred stock receive dividends after owners of common stock.

If ABC steel buys NextGen Iron Ore to assure itself of a constant flow of ore,it will be an example of a _____.

Isabella owns 100 _____ stock of NxtGen Solutions,a software firm.It means that she has voting rights on company decisions at NxtGen Solutions,but only residual claims on the company's assets.

Brady decides to start a trust-run hospital to help the poor get expensive treatments for free.Which of the following is most likely to be true of the hospital?

Small businesses generate over _______% of new jobs.

Not-for-profit corporations do not issue stock certificates and are exempt from paying income taxes.

First-time business owners often overestimate the funds their firms will generate from initial sales to allow for operations to continue.

_____ must verify in writing the accuracy of their corporation's financial statements.

The arrangement,when a government unit owns and operates an organization,is known as _____.

The stocks of Novelties-R-Us,a toy store,are completely owned by the Garcias.When the family elected to move from a sole proprietorship to a corporation,the greatest concern was _____.

While nearly ____ percent of new businesses survive at least two years,about ______ percent make it to the five-year mark.

Fortunately,small businesses are not required to pay workers' compensation or Social Security.

A merger of unrelated firms is called a conglomerate merger.

The Small Business Administration (SBA)provides all of the following EXCEPT _____.

How do small businesses contribute to the U.S economy?

Franchising combines the freedom of business ownership with the support of a large company.

PUR Water is a company that designs and implements innovative water purification solutions using simple and inexpensive methods.All its decision-making focuses on a better environment.While the company manages to make profits,its vision is set beyond financial gains.Its adherence to its goals is verified by a third-party auditor.Which of the following types of corporations does this scenario illustrate?

Nova Airlines' purchase of Emu Airlines combines the resources and capabilities of both firms to create the world's largest airline.The newly formed company is an example of a _____.

Small businesses are more likely to employ older workers than large businesses,but not the youngest ones.