Sophia and Frederik Are Opening a Landscape Company

question 10

Multiple Choice

Sophia and Frederik are opening a landscape company. Although they will each own 50% of the business, Sophia will be doing more work. The plan is to give her 60% of the profits and give Frederik the remaining 40%. This relates to which key consideration for choosing ownership structure?

• A) taxation and division of profits
• B) legal and financial liability
• C) ease of start-up and administration
• D) business control and transfer of ownership

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Definitions:

Hypochondriasis

A disorder characterized by an excessive preoccupation with and fear of having a serious illness, despite medical evaluation and reassurances.

Excessively

To a degree or extent that exceeds what is normal or permissible.

Doctors

Medical professionals who are licensed to diagnose and treat illnesses, perform surgery, and prescribe medication to patients.

Dopamine System

A complex network within the brain that's responsible for regulating pleasure, reward, and motivation, primarily through the neurotransmitter dopamine.