Alani and Jeremy Have Considered Creating Their Own Company but Are

question 27

Multiple Choice

Alani and Jeremy have considered creating their own company but are concerned about the possibility of losing all of their personal assets if the business fails. One way for Alani and Jeremy to avoid this risk would be to organize their firm as a

• A) general partnership.
• B) limited partnership.
• C) corporation.
• D) sole proprietorship.

---

Definitions:

Cultural Relativism

The principle that an individual human's beliefs and activities should be understood by others in terms of that individual's own culture.

Premature Judgments

Opinions or conclusions formed before having the necessary knowledge or evidence, often leading to bias or misunderstanding.

Adaptation

The process by which a species becomes fitted to its environment; it is the result of natural selection acting upon heritable variation.

Surplus Wealth

Refers to the amount of wealth or resources that exceed the basic needs of an individual or society, allowing for savings, investment, or luxury.