PATTERNS OF

BUSINESS OWNERSHI

P

SOLE PROPRIETORS

HIP

A sole proprietorship is a business that is owned and usually managed by one person. This is the most common form of business ownership.

PARTNERSHIP

A partnership is a business between two or more people. It is the least common type of all the basic forms of ownership. Out of all business it makes the least amount of profits.

CORPORATION

A corporation is a legal entity with authority to act and have liability separate from its owners.

Answer the following questions:1. What pattern of business ownership has the powers,

attributes, and properties expressly authorized by law or incident to its existence?a. Partnershipb. Corporationc. Sole Proprietorship

2. What is the difference between the sole proprietorship and partnership?a. Number of membersb. Settling of obligationsc. Dissolution

3. In one sentence or phrase explain the importanceof business.