A Firm with Two or More Owners Who Have Unlimited

question 109

Multiple Choice

A firm with two or more owners who have unlimited liability is

• A)a sole proprietorship.
• B)a partnership.
• C)a conglomerate.
• D)a corporation.
• E)a public company.

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Definitions:

Account

A record that keeps track of financial transactions, investments, or the financial state of an individual, institution, or company.

Utility Function

A mathematical representation used in economics to model satisfaction or preference that a consumer derives from the consumption of goods and services.

Risk Averse

A behavioral tendency to prefer avoiding losses over acquiring equivalent gains.

Present Value

The worth at present of an anticipated future cash amount or stream of payments, considering a particular rate of return.