FIN 370 Final Exam

1) In terms of organizational costs, which of the following sequences is correct, moving from lowest to highest cost?

A. Corporation, limited partnership, general partnership, sole proprietorship

B. General partnership, sole proprietorship, limited partnership, corporation

C. Sole proprietorship, general partnership, corporation, limited partnership

D. Sole proprietorship, general partnership, limited partnership, corporation

2) The true owners of the corporation are the:

A. board of directors of the firm.

B. holders of debt issues of the firm.

C. common stockholders.

D. preferred stockholders.

3) Which of the following categories of owners have limited liability?

A. General partners

B. Sole proprietors

C. Shareholders of a corporation

D. ...