to avoid disagreements on the division of profits, partnerships should have ___________. partnership...
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To avoid disagreements on the division of profits, partnerships
should have ___________.
Partnership Agreement
The most important written document that describes a business, its goals, and how to achieve them is
called ____________.
A Business Plan
Ownership of a corporation is divided into parts called ________.
Shares
Name at least one of the basic rights of stockholders.
• Transfer Ownership• Vote for Members of the Board• Receive Dividends
Name 3 characteristics of an intrapreneur’s job.
1. Funds and freedom to create a special unit
2. Freedom to run their operation3. Freedom on how to manage
What would be the simplest ownership of a person wanting to be the sole owner of a new business?
Proprietorship
Name the 3 types of business ownerships.
1. Sole Proprietorship2. Partnership3. Corporation
Name the 3 basic features for the structure of a corporation
1. Stockholders2. Directors3. Officers
Definition:
An employee who is given funds and freedom to create a special
unit or department with a company in order to develop a new
product, process or service.
Intrapreneur
Definition:
A partnership in which each partner’s liability is limited to his
or her investment in the partnership.
Limited Liability Partnership
Definition:
Owners of a corporation.
Stockholders
Definition:
Special type of corporation allowed by states that is taxed as if it were a sole proprietorship or
partnership.Limited Liability Company
Definition:
Corporation that offers its shares of stock for public sale.
Open Corporation
Definition:
Business owned and managed by one person.
Proprietor
Definition:
Ruling body of a corporation.
Board of Directors
Definition:
Business owned by two or more people.
Partnership
Definition:Corporation that does not offer
its shares of stock for public sale.
Close Corporation
Definition:
Organization that does not pay taxes and does not exist to make
a profit.Nonprofit Corporation
Definition:
Official document through which a state grants the power
to operate as a corporation.
Charter
Definition:
When each partner is personally liable for all the debts incurred
by the partnership.
Unlimited Financial Liability
Calculate profit/loss in proportion to investment
Jan invested $40,000 and Tina invested $20,000.Last year’s profit was $12,500.
(Be able to show all work)Jan $40,000 + $20,000 = $60,000
$40,000/$60,000 = .67.67 x $12,500 = $8,375
Tina $40,000 + $20,000 = $60,000$20,000/$60,000 = .33.33 x $12,500 = $4,125