ptest Q4 – Flashcards

The ____ is a legal document that lists and explains the terms of the partnership. articles of partnership co-owners' agreement formation contract will charter

Because there are two or more people in a general partnership, bankers, suppliers, and other creditors are not concerned about unlimited liability.

When Compaq and Hewlett-Packard decided to become one company, this was an example of a(n) joint venture. conglomerate merger. horizontal merger. hostile takeover. acquisition.

A corporation is an artificial person created by law.

Compared to a corporation, a partnership is more difficult and expensive to establish.

Boeing is incorporated in Seattle, Washington. It has a large facility in Huntsville, Alabama, and is considered a(n) ____ because it conducts business within Alabama. domestic corporation tax write-off alien corporation outsider foreign corporation

In all states besides the one in which it is incorporated, a business is known as a(n) foreign corporation. S-corporation. resident corporation. public corporation. domestic corporation.

Unlike a person, a corporation exists only on paper.

Corporations are forbidden by law to enter joint ventures.

A corporation chartered in Kansas and doing business in Kansas is known as a domestic corporation.