1. REVIEW Chapter 8 & 9 Section 3

2. [What must a firm create during initial incorporation to show how it will be established and how it will function?] A. [declaration of intent] B. [charter] C. [constitution]

3. [Which of these business organizations can be hit with “double taxation”?] A. [corporation] B. [partnership] C. [sole proprietorship]

4. [ Which of these business organizations require a fee be paid?] A. [franchise] B. [cooperative] C. [non profit organization]

5. [ Which business organization usually has the smallest pool of capital?] A. [partnership] B. [corporation] C. [sole proprietorship]

6. [Which partnership has a general partner and others as limited partners?] A. [general] B. [limited] C. [limited liability]

7. [What category represents 75% of all business organizations] A. [sole proprietorship] B. [partnership] C. [corporation]

8. [ What are payments to employees other than wages or salaries?] A. [taxable benefits] B. [fringe benefits] C. [nontaxable benefits]

9. [Which government entity approves mergers?] A. [Federal Trade Commission] B. [Securities and Exchange Commission] C. [Department of Justice]

10. [ What is it called when two or more firms that compete in the same market combine?] A. [vertical merger] B. [horizontal merger] C. [parallel merger]

11. [ What type of business organization is the Salvation Army?] A. [non profit] B. [cooperative] C. [franchise]

12. [ What does a sole proprietorship and a partnership have in common?] A. [no owner is subject to taxation] B. [both do not require a written agreement] C. [both are complicated to start-up]

13. [Which of these is NOT a normal outcome of a multi national corporation?] A. [they close their operations in the U.S.] B. [they can negatively impact the socio- political atmosphere of the host country ] C. [they can positively impact the economics of the host country]

14. [The two major ways a corporation can attract capital is through selling stocks and…] A. [selling bonds] B. [declaring bankruptcy] C. [becoming a non profit organization]

15. [If a partnership does not have a written contract, what does each state place the partnership under? ] A. [the articles of partnership] B. [the Uniform Partnership Act] C. [the code of partnerships]

16. [Which of these does the government excuse from liability?] A. [partnership] B. [sole proprietorship] C. [corporation] D. [none of the above]

18. [ Which of these would be a tactic used by a company against the union?] A. [“yellow-dog contract”] B. [strike] C. [“featherbedding”]

19. [ Which of these would benefit union membership growth?] A. [“white-collar workers”] B. [“right-to-work laws”] C. [“closed shops”]

20. [ What is the process of negotiating a new contract between labor and management?] A. [grievance] B. [collective bargaining] C. [injunction]

21. [What is the biggest difference between mediation and arbitration?] A. [the option to accept or reject the decision] B. [the third party is a neutral person] C. [it comes before a strike vote is taken by the union membership]

22. [What was the purpose of the Taft- Hartley Act?] A. [give power to organized labor to declare a strike] B. [make injunctions illegal] C. [curb the power of organized labor ]

23. [Which one of these is not true concerning labor after the Industrial Revolution?] A. [children were working in factories] B. [factory laborers worked for low wages] C. [factory laborers returned back to the farm in masses]

24. [ Samuel Gompers founded the American Federation of Labor to discourage laborers from organizing against big business] A. True B. False

25. [ After the Great Depression Congress began to pass more favorable legislation for organized labor ] A. True B. False