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Brothers Ronnie and Jacob Are Both in College; Ronnie Is

question 2

Multiple Choice

Brothers Ronnie and Jacob are both in college; Ronnie is a senior and Jacob a sophomore. They’re both majoring in business administration and want to open a small business a few years after graduation. They understand that it’s important to gain more management experience and build good credit ratings. Ronnie wants more security in his work and would be satisfied working with an older partner until he “learns the ropes.” More than Jacob, he’d prefer a business that’s been established for a few years. Although he likes a certain degree of independence, he’s willing to follow directions and take advice. Jacob, on the other hand, wants more freedom to make his own choices and to succeed or fail on his own merits. He’s quite creative and likes to set his own rules.
-Among the disadvantages of business ownership,Jacob would probably balk at the prospect of_____.

Definitions:

Estate Tax

Estate Tax is a tax levied on the net value of the estate of a deceased person before it is distributed to the heirs, applied in certain jurisdictions.

Trust Fund

A trust fund is a legal arrangement in which assets are held by a trustee for the benefit of another party, often used for estate planning or to manage assets for individuals or charities.

Demonstrative Legacy

A bequest in a will that specifies a particular asset or monetary source to fund the gift.

Probate

The legal process of administering a deceased person's estate, including the resolution of any claims and the distribution of assets under a will.