10-23 Flashcards
1
Q
Business owned and run by a single person who had the rights to all profits and unlimited liability for all debts of the firm
A
Sole proprietorship
2
Q
Requirement that an owner is personally and fully responsible for all losses and debts of the business
A
Unlimited liability
3
Q
Form of partnership where one or more partners are not active in the daily running of the business and have limited responsibility for debts
A
Limited partnership
4
Q
Check that transfers a portion of the company profits to stockholders, usually quarterly
A
Dividends
5
Q
Form of corporate ownership without vote, in which stockholders get their investments back before common stockholders
A
Preferred stock
6
Q
Written government approval to establish a corporation
A
Charter
