question 1 (1 point)\npreferred stock represents the nonvoting ownership of a corporation.\ntrue\nfalse\n\nqu…

question 1 (1 point)\npreferred stock represents the nonvoting ownership of a corporation.\ntrue\nfalse\n\nquestion 2 (1 point)\nlimited liability is one characteristic of the corporate form of business organization.\ntrue\nfalse\n\nquestion 3 (1 point)\ninvestors in corporations have unlimited liability for the companys debts.\ntrue\nfalse\n\nquestion 4 (1 point)\nunlike a general partnership, in a limited partnership\na the inactive partner has limited liability for the businesss debts.\nb all partners share equal financial responsibility for the firms decisions.\nc the partners must pay special business taxes.\nd the business does not end with the death of a partner.\n\nquestion 5 (1 point)\na merger of corporations involved in different steps of manufacturing or marketing is known as a\na vertical merger.\nb horizontal merger.\nc multinational merger.\nd conglomerate.\n\nquestion 6 (1 point)\nan advantage of a corporation is that\na owners have direct and immediate control over daily management of the business.\nb the business is subject to little government regulation.\nc owners have limited liability for debt.\nd owners pay fewer taxes than owners of other forms of business.\n\nquestion 7 (1 point)\nperfect competition is characterized by all of the following except\na well - informed buyers and sellers.\nb identical products.\nc a large number of buyers and sellers.\nd sellers acting together to set prices.

question 1 (1 point)\npreferred stock represents the nonvoting ownership of a corporation.\ntrue\nfalse\n\nquestion 2 (1 point)\nlimited liability is one characteristic of the corporate form of business organization.\ntrue\nfalse\n\nquestion 3 (1 point)\ninvestors in corporations have unlimited liability for the companys debts.\ntrue\nfalse\n\nquestion 4 (1 point)\nunlike a general partnership, in a limited partnership\na the inactive partner has limited liability for the businesss debts.\nb all partners share equal financial responsibility for the firms decisions.\nc the partners must pay special business taxes.\nd the business does not end with the death of a partner.\n\nquestion 5 (1 point)\na merger of corporations involved in different steps of manufacturing or marketing is known as a\na vertical merger.\nb horizontal merger.\nc multinational merger.\nd conglomerate.\n\nquestion 6 (1 point)\nan advantage of a corporation is that\na owners have direct and immediate control over daily management of the business.\nb the business is subject to little government regulation.\nc owners have limited liability for debt.\nd owners pay fewer taxes than owners of other forms of business.\n\nquestion 7 (1 point)\nperfect competition is characterized by all of the following except\na well - informed buyers and sellers.\nb identical products.\nc a large number of buyers and sellers.\nd sellers acting together to set prices.

Answer

Brief Explanations:

  • Question 1: Preferred stockholders usually do not have voting rights, so it represents non - voting ownership.
  • Question 2: Limited liability is a key feature of the corporate form where owners' personal assets are generally protected from corporate debts.
  • Question 3: Investors in corporations have limited liability, not unlimited liability for the company's debts.
  • Question 4: In a limited partnership, the inactive (limited) partner has limited liability for the business's debts.
  • Question 5: A merger of corporations at different steps of manufacturing or marketing is a vertical merger.
  • Question 6: One of the main advantages of a corporation is that owners have limited liability for debt.
  • Question 7: In perfect competition, sellers are price - takers and do not act together to set prices.

Answer:

Question 1: True Question 2: True Question 3: False Question 4: a. the inactive partner has limited liability for the business's debts. Question 5: a. vertical merger. Question 6: c. owners have limited liability for debt. Question 7: d. sellers acting together to set prices.