In a sole proprietorship, the owner is personally responsible without limitation for the liabilities incurred.
Answer: TRUE
In a limited partnership, at least one general partner must remain in the association; the privilege of limited liability still applies to this partner.
Answer: FALSE
In a general partnership, each partner is liable for the partnership's obligations only up to a percentage of the obligation equal to that partner's percentage of ownership of the partnership.
Answer: FALSE
The owners of a corporation are liable for the corporation's obligations up to the amount of their investment.
Answer: TRUE
General partners have unrestricted transferability of ownership, while limited partners must have the consent of all partners to transfer their ownership.
Answer: FALSE
Ultimate control in a corporation is vested in the board of directors.
Answer: FALSE
Owners must register and pay yearly fees to their State of residence when establishing a sole proprietorship.
Answer: FALSE
Limited partners may actively manage the business.
Answer: FALSE
The life of a corporation is not dependent upon the status of the investors.
Answer: TRUE
A sole proprietorship is the most desirable business form in all circumstances.
Answer: FALSE
