A(n)________ Is a Legal Structure for Organizing a Business Where

question 5

Multiple Choice

A(n) ________ is a legal structure for organizing a business where the organization is a distinct and separate entity from its owners.

• A)general partnership
• B)proprietorship
• C)corporation
• D)limited partnership

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Definitions:

Fixed Costs

Expenses that do not change with the level of output or production, such as rent, salaries, and insurance premiums.

Break-even Point

The point at which total costs equal total revenues, indicating that a business is neither making a profit nor a loss.

Fixed Costs

Costs that do not change in total with changes in activity level over a relevant range, such as rents, salaries, and insurance premiums.

Break-even Sales

The amount of revenue needed to cover all fixed and variable costs, resulting in zero profit or loss.