By the end of the chapter, you should be able to:
- Identify the questions to ask in choosing the appropriate form of ownership for a business.
- Describe the sole proprietorship and partnership forms of organization, and specify the advantages and disadvantages.
- Identify the different types of partnerships, and explain the importance of a partnership agreement.
- Explain how corporations are formed and how they operate.
- Discuss the advantages and disadvantages of the corporate form of ownership.
- Examine special types of business ownership, including limited liability companies, cooperatives, and not-for-profit corporations.
- Define mergers and acquisitions, and explain why companies are motivated to merge or acquire other companies.