ch 26 vocab

Question 1

One who initiates and assumes financial risk of a new business enterprise and undertakes to provide/control its management.

Answer 1

Entrepreneur *

Question 2

Simplest form of business organization, in which the owner is the business. Owner reports business income on their personal income tax return and is legally responsible for all debts and obligations incurred by the business.

Answer 2

Sole Proprietorship *

Question 3

Any arrangement in which the owner of a trademark, trade name, or copyright licenses another to use that trademark, trade name, or copyright in the selling of goods/services.

Answer 3

Franchise *

Question 4

One receiving a license to use anothers (franchisor) trademark, tarde name, or copyright in sale of goods/servies.

Answer 4

Franchisee *

Question 5

One licensing another (franchisee) to use the owners trademark, trade name, or copyright in selling of goods/services.

Answer 5

Franchisor *