1. Incorporation allows more flexibility in carrying out business operations than a sole proprietorship (true/false)

2. A corporation is a legal entity chartered by the state, with a separate and distinct existence from its owners (True/False)

3. Many sole proprietors resort to running their personal credit cards to the maximum limit, or transferring balances between credit cards, in the early stage of their business (true/false)

4. If a partner files a personal bankruptcy, it will have no bearing on the partnerships in which he happens to be a partner (true/false)

5. In effect, there is no creation cost or time in a sole proprietorship, since there is nothing to create (true/false)

6. _____ is the result when a corporation issues additional shares, resulting in a reduction of percentage of the corporation owned by shareholders.

7. _____ is the liability of landowners and leaseholders for torts that occur on their real property.

8. As in a sole proprietorship, there is no _____ involvement in creating a general partnership because there is no separation from the business and the partners.

9. The LLP model is now very common with most of the major ______ firms.

10. A(n) _____ is a person authorized to act on behalf of a shareholder at a shareholders' meeting.