1) If a business is unable to pay its debts, creditors can claim the assets of the business, but they cannot claim the nonbusiness assets of the owner.

For which type of business structure is this true?

A) A limited liability company

B) A general partnership

C) An independent contractor

D) A sole proprietorship

2) In which of the following scenarios would a check be the most productive method of payment?

A) Beena wants to save money and avoid buying on impulse.

B) In his business, Michael often needs to quickly send money to other people's accounts.

C) Oliver often needs to make purchases on credit.

D) Carla is new to the country and doesn't have a bank account.