1. You and a partner started a home appliance repair business, equally investing $10,000 to get the business started. You chose a corporation as the ownership structure. After a year of operation, the business is deeply in debt, owing approximately $100,000 to creditors. As a result you both agree to close the business. Once you close the business, your creditors sue the business for the $100,000 owed to them. Which of the four outcomes below is correct?

Select one:

a. Each of you must pay $10,000, because that is the size of your original investment.

b. As owners of the corporation, you are not liable for the $100,000

c. Your liability is unlimited and you are personally liable for any debts.

d. As owners of the corporation, each of you is liable for up to $50,000 each.

2.Which of the following best describes an Entrepreneur?

Select one:

a. I like building upon the work others have already done.

b. I believe that my circumstances will pretty much be determined by opportunities.

c. All of these statements describe entrepreneurs.

d. I believe that I control own destiny.