Chapter 3

4. of firms involved in different steps of manufacturing or marketing.
6. of two or more firms producing the same kind of products.
7. proprietorship/unincorporated business owned and run by a single person who has rights to all profit and unlimited liability for all debts of the firm; most common form of business organization in the U.S.
9. wear on capital goods during production
10. association performing some kind of economic activity for the benefit of its member.
12. with four or more business making unrelated products, with no single business responsible for a majority of its sale.
13. business owned and operated by two or more people who share the profits and have unlimited liability for the debts and obligations of the firms; same as general partnership.
15. of two or more business enterprises to form a single firm.
16. liability/requirement that an owner is personally responsible for all the losses and debts of a business; applies to proprietorship, general partnership.
17. paid to stockholders, usually quarterly, representing portion of corporate profits.

1. of business organization recognized by law as a separate legal entity with all the rights and responsibilities of an individual, including the right to buy and sell property, enter into legal contracts, sue and be sued.
2. utility/Company providing essential service such as water and electricity to consumers usually subject to some government regulations.
3. producing and selling without regard to national boundaries and whose business activities are located in several different countries.
5. institution that operated like a business but does not seek financial gain: schools, churches, community service organizations.
8. permission to an individual or business to cease or delay payment on some of the debt for a limited amount of time.
11. of goods held in reserve: includes finished goods waiting to be sold and raw material to be used in production.
14. borrowed when getting a loan or issuing a bond.
17. taxation/Stockholder’s dividends are taxed twice once as corporate profit and again as personal income.