Unit 2

Question 1

What is sole proprietorship?

Answer 1

-Business owned by one person

Question 2

Describe partnership?

Answer 2

• Owned by 2 or more people
• Limited and general partnerships
• Must have a written partnership agreement

Question 3

Describe Corporation:

Answer 3

• Owned by Shareholders
• Board of directors
• Granted legal status
• One vote per share
• 3 Types: private, public, and crown corporations

Question 4

Describe Co-operative

Answer 4

• Owned by members who buy shares of the Co-operative
• One vote per person
• Operated by board of directors
• Formed to provide services not profits

Question 5

Describe Franchise

Answer 5

• Hybrid form of ownership
• Can be Owned by single people, partners, or corporations.
• Franchisor is the parent company that provides franchises to franchisees

Question 6

Name 5 types of business ownerships?

Answer 6

• Sole Proprietorship
• Partnership
• Corporation
• Co-operative
• Franchise