Business Organizations

Defintions

Definitions

Liability-the state of being responsible for something

Unlimited Liability-legal obligations general partners and sole proprietors because they are liable for all business debts if the business can't pay its liabilities.

stock-the goods or merchandise kept on the premises of a business or warehouse and available for sale or distribution





  1. Dividend- a sum of money paid regularly (typically quarterly) by a company to its shareholders out of its profits (or reserves).











  2. Board of Directors-a body of elected or appointed members who jointly oversee the activities of a company or organization

Real Life Examples

Corporation-7-eleven , Adidas , aflac

partnership-Facebook , twitter

sole proprietorship- house cleaning service , freelance writer

Definitions