Comparing proprietorships with partnerships, which is TRUE?
A) In both cases, profits are taxed only once.
B) Partnerships outnumber proprietorships 2-to-1 in the United States.
C) Proprietorships generally end with the death of the owner, but partnerships continue as long as at least one partner survives.
D) A proprietor faces unlimited liability for her firm's debts, but in a partnership each partner is only responsible for an even share of the firm's indebtedness.
Answer: A
You might also like to view...
An increase in bond prices will most likely result in
A) a decrease in the quantity demanded of money. B) an increase in the quantity demanded of money. C) an increase in the opportunity cost of holding money. D) an increase in interest rates.
In the case of a negative externality, the socially optimal output naturally exists if
A. the external costs associated with the negative externality are extremely small. B. the external costs divided by price is equal to price divided by marginal private cost. C. there are no free riders. D. the public good aspects of the negative externality outweigh the costs incurred by the negative externality. E. none of the above
Which of the following statements is true of the relationship among the average cost functions?
A) ATC = AFC - AVC B) AVC = AFC + ATC C) AFC = ATC + AVC D) AFC = ATC - AVC
Congress established the ________ to investigate "…the organization, business conduct, practices, and management" of companies that engage in interstate commerce.
A. Interstate Commerce Commission B. Antitrust Division of the Justice Department C. Federal Trade Commission D. National Transportation Board