STUDENTS SUCCESS
Revision Examination Tests
“Come all for this Greatness”
... 100% Correct Ans ...
SUMMARY ETH302S ASSIGNMENT 2 AND CORRECT DETAILED ANSWERS
2024/2025: COVERS ALMOST EVERY QUESTION IN DETAILS
Quiz What is the definition of a foreign corporation?
Ans: A business formed in a different state
Quiz What is the definition of a Subchapter S corporation?
Ans: A business that passes profits directly to shareholders
Quiz Wade and Hunter want to start a business. They have a large amount of
capital. They have a good working relationship and believe they will do well sharing
management responsibility and in sharing profits. They are happy to be organizing a
business together in order to avoid full liability for the business. Which detail(s) of
this situation would be most unhelpful toward Wade and Hunter's decision to
organize a general partnership?
Ans: Avoiding full liability
Wade and Hunter's anticipation of limited liability would be a mistake if they are
organizing a general partnership. Sharing management responsibility and profits are
valid benefits of a general partnership, and while a large amount of capital is
unnecessary in organizing one, it would certainly still be beneficial.
Quiz What is a public corporation?
Ans: A business formed by the government
Quiz What is a closely-held corporation?
Ans: A business with a small number of shareholders
Quiz Albus wants to build a business. He wants to start the business fast and reach
a large customer base, but he only has a small amount of opening capital. He has no
partner with whom to form the business. Which of the following is not a valid reason
for Albus to choose a sole proprietorship organization for his business?
Revision Examination Tests
“Come all for this Greatness”
... 100% Correct Ans ...
SUMMARY ETH302S ASSIGNMENT 2 AND CORRECT DETAILED ANSWERS
2024/2025: COVERS ALMOST EVERY QUESTION IN DETAILS
Quiz What is the definition of a foreign corporation?
Ans: A business formed in a different state
Quiz What is the definition of a Subchapter S corporation?
Ans: A business that passes profits directly to shareholders
Quiz Wade and Hunter want to start a business. They have a large amount of
capital. They have a good working relationship and believe they will do well sharing
management responsibility and in sharing profits. They are happy to be organizing a
business together in order to avoid full liability for the business. Which detail(s) of
this situation would be most unhelpful toward Wade and Hunter's decision to
organize a general partnership?
Ans: Avoiding full liability
Wade and Hunter's anticipation of limited liability would be a mistake if they are
organizing a general partnership. Sharing management responsibility and profits are
valid benefits of a general partnership, and while a large amount of capital is
unnecessary in organizing one, it would certainly still be beneficial.
Quiz What is a public corporation?
Ans: A business formed by the government
Quiz What is a closely-held corporation?
Ans: A business with a small number of shareholders
Quiz Albus wants to build a business. He wants to start the business fast and reach
a large customer base, but he only has a small amount of opening capital. He has no
partner with whom to form the business. Which of the following is not a valid reason
for Albus to choose a sole proprietorship organization for his business?
