Gary and Sue Start a Consulting Firm

question 409

Multiple Choice

Gary and Sue start a consulting firm. They are co-owners of it and have joint control over its operation and the right to share in its profits. Their organization is most likely a:

• A) proprietorship
• B) partnership
• C) business trust
• D) corporation
• E) syndicate

---

Definitions:

Negative Figure

A value less than zero, often indicated in financial statements to represent losses, deficits, or outflows.

Comparative Balance Sheets

Financial statements that provide a side-by-side comparison of a company's financial position at different periods.

Horizontal Analysis

A financial analysis technique that compares historical financial data over a series of reporting periods to identify trends and growth patterns.

Trend Analysis

A method of financial analysis that allows one to predict future movements based on historical data.