FIN 370 Final Exam

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

A. General partners

B. Sole proprietors

C. Shareholders of a corporation

D. Both a and b

2) The true owners of the corporation are the:

A. holders of debt issues of the firm.

B. board of directors of the firm.

C. common stockholders.

D. preferred stockholders.

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

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

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

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

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