Exam 5: Forms of Business Ownership

Locating a Baskins-Robbins and a Burger King franchise under the same roof is an example of tandem-franchising.

AT&T and British Telecom,two of the largest communications companies in the world,allied to create a company called Concerts to investigate the profitability of providing telecommunications services for multinational companies.Concerts was an example of which of the following?

____________________ is the operation of two or more franchises in one location to generate more customer traffic and maximize space,personnel,and management utility.

What is the headquarters,seller,and supplier of the service or method of operation of a franchise called?

Which of the following are corporate takeovers financed by large amounts of borrowed money?

A(n)____________________ is the purchase of a corporation by another corporation or by an investor group.

Which of the following types of merger brings together companies in unrelated businesses to reduce risk?

What do partnership agreements generally specify?

What type of liability means that business damages and/or debts can also be attached to the personal assets of the owners?

What is the purchaser of a franchise called?

One of the disadvantages of the sole proprietorship is that the owner has unlimited liability.

The purchase and subsequent takeover of Marks Work Warehouse,by Canadian Tire,is an example of which of the following?

In a limited partnership,all of the partners have limited liability.

What is double taxation?

List the three major categories of business ownership.

What does the fact that a corporation has limited liability mean?

Karl Metzger plans to invest $5,000 in a partnership with his brother to produce and sell handcrafted violins,zithers,and other string instruments.Metzger does not plan to work in the business and wants no more liability than his investment.What should he be?

Which of the following is a disadvantage for the fast-food franchisee?

List the three major types of mergers.

A ____________________ is a business that is established,owned,operated,and often financed by one person.