Business Organizations
By Ameitra Snell
sole proprietorship
A sole proprietorship is a type of business entity that is owned and run by one natural person and in which there is no legal distinction between the owner and the business.
corporation
A corporation is a company or group of people authorized to act as a single entity (legally a person) and recognized as such in law.
limited liability
A limited liability is when someone is not personally responsible for business debts and obligations of the corporation.
unlimited liability
A unlimited liability refers to the legal obligations general partners and sole proprietors because they are liable for all business debts if the business can't pay its liabilities.
stock
A stock are the goods or merchandise kept on the premises of a business or warehouse and available for sale or distribution.
dividend in economics
A dividend is a distribution of a portion of a company's earnings, decided by the board of directors, to a class of its shareholders.
board of directors
A board of directors is a body of elected or appointed members who jointly oversee the activities of a company or organization.
Life example of sole proprietorship
- the most common type of business
- subway is the life example of a sole proprietorship
Life example of partnership
- two people agree to do something as of agreeing
Life example of corporation
- the many people that you see is the people communicating