Nature and Types of Organization

Question 1

Is a collection of people who work together and coordinate their actions to achieve a wide variety of goals

Answer 1

ORGANIZATION

Question 2

What are different Forms of Business?

Answer 2

-Sole proprietorship
-General Partnership
-Limited Partnership
-Corporation
-S Corporation
-Limited Liability Company

Question 3

What is are the Main Forms of Business

Answer 3

-Sole proprietorship
-Partnership
-Corporation

Question 4

Business is owned by a single Individual
-Simplest form of a business

Answer 4

Sole proprietorship

Question 5

Two or more parties cooperate to manage and operate a business for profit

Answer 5

Partnership

Question 6

A separate body consisting of at least five individuals treated by law as a unit

Answer 6

CORPORATION

Question 7

-A corporation that is taxed as though it were a partnership
-No more than 100 stockholders
-There can be no nonresident-alien stockholders

Answer 7

S-Corporation

Question 8

A form of business ownership that combines the benefits of a
corporation and a partnership while avoiding some of the restrictions
and disadvantages of those forms of ownership

Answer 8

Limited-Liability Companies

Question 9

Also known as non-profit organizations, are
organized to provide a social, educational,
religious, or other service rather than to
earn a profit.

Answer 9

Not-for profit

corporations

Question 10

is an association of individuals
or firms whose purpose is to perform some
business function for its members.

Answer 10

Coorperatives

Question 11

is an agreement between two or
more groups to form a business entity in order
to achieve a specific goal or to operate for a
specific period of time.

Answer 11

Joint Venture

Question 12

a contractual agreement to
use the name and sell the
products or services of a
company in a designated
geographic area

Answer 12

Franchise

Question 13

Types of

Organizational

Structure

Answer 13

• Line Structure
• Functional
• Divisional
• Matrix

Question 14

It is a hybrid of two structures namely,

divisional and functional structure.

• This can create power struggles because

most areas of the company will have dual
management – a functional manager and a
product divisional manager working at the
same level and covering some of the same
managerial territory.

Answer 14

Matrix

Question 15

It is typically used in larger companies
or organizations with several branches
or outlets that operate in a wide
geographic area or that have separate
smaller organizations within the
umbrella group to cover different types
of products or marker areas.

Answer 15

Divisional

Question 16

It is a set up wherein each department of
the organization is grouped according to
its function or purpose.

Answer 16

Functional

Question 17

It is a set up wherein each department of
the organization is grouped according to
its function or purpose.

Answer 17

LINE STRUCTURE