Which Type of Business Organization Transacts the Most Business and Is

question 19

Multiple Choice

Which type of business organization transacts the most business and is the largest in terms of assets,income,and number of employees?

• A)Proprietorship
• B)Partnership
• C)Limited-liability company
• D)Corporation

---

Definitions:

Fixed-Asset Turnover Ratio

A financial ratio that measures how efficiently a company uses its fixed assets to generate sales, calculated by dividing sales by net fixed assets.

Income Statement

A financial statement that shows a company's revenues, expenses, and profits over a period of time.

Balance Sheet

A financial statement that summarizes a company's assets, liabilities, and shareholders' equity at a specific point in time, providing a basis for computing rates of return and evaluating its capital structure.

Price-To-Book Ratio

A financial measure that compares a company's current market price to its book value, indicating the value the market places on the net assets of a company.