1: What is the lecture mainly about?


A) How to form corporations
B) types of business organizations
C) Differences between a proprietorship and a partnership
D) Differences between a partnership and a corporation




2: In the lecture, the professor describes some characteristics of a corporation. Indicate whether each is a characteristic. (YES or NO)


a) Personal liability




b) Officers own the company.
c) Shareholders control the company's ownership.
e) Board of Directors makes daily operating decisions




3: Why does the professor mention that many new businesses fail within the first two years?


A) To discourage new business starts
B) To show how much information he has obtained about new businesses
C) To explain why it is important to know types of business
D) To explain why people may need to have financial help in starting a business




4: According to the professor, what is one characteristic of a sole proprietorship?


A) People can begin business more quickly
B) People are provided with many choices for a type of business
C) People can take advantage of friends' advice
D) People can lose money quickly




5: What does the professor mean when he says this?


A) He wants the students to think about why they are going into business.
B) He thinks going into business together promotes friendship
C) He wants to explain studets realities of life
D) He thinks the students can make good decisions about such matters




6: Why does the professor say this?


A) You have someone to complain to
B) You know someone understands your problems
C) You can get help before you have customer complaints
D) Advisors will help you when you have problems



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Answers:
1: b
2: (yes= c, e) (no= a, b, d)
3: c
4: a
5: c
6: d