A Proprietorship Is a Business

question 170

Multiple Choice

A proprietorship is a business

• A)owned by one person.
• B)owned by two or more persons.
• C)organized as a separate legal entity under state corporation law.
• D)owned by a governmental agency.

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Definitions:

Property Rights

Legal rights to possess, use, and dispose of assets including real estate, intellectual property, and tangible goods.

Economic Efficiency

A measure of how well scarce resources are utilized for producing goods and maximising the satisfaction or utility of consumers.

Market Equilibrium

A condition where the supply and demand in the market equilibrate, leading to stable prices.

Economic Efficiency

The optimal allocation of resources to maximize the production of goods and services, achieved when no further gains can be made without disadvantages.