Which of the Following Is Not a Limitation of the Proprietorship

question 48

Multiple Choice

Which of the following is not a limitation of the proprietorship form of business?

• A) Unlimited personal liability
• B) Difficulty raising capital
• C) Double taxation
• D) Difficulty in transferring ownership
• E) Limited life

Understand behavioral economics explanations for consumer behavior in purchasing warranties.

Define and discuss the role of fairness in economic decisions and its significance to individuals.

Examine evidence of ethical and moral considerations in economic behavior.

Describe common behaviors in economic games, highlighting the ultimatum game.

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Definitions:

Intentional Torts

Intentional torts are wrongful acts done on purpose to harm another person, as opposed to accidentally, and can lead to civil liability.

Partnership

A legal form of business operation between two or more individuals who share management and profits. The specific terms are detailed in a partnership agreement.

Silent Partners

Investors in a partnership who contribute financially but do not participate in management or day-to-day operations of the business.

Partnership Debts

Debts that are the responsibility of the business partnership as a whole, not just of individual partners.