8. Which of the follow is not an area of finance in business? a. b. c. Capital budgeting Estate planning Working capital management 9. A sole proprietorship is a business owned by: a. Shareholders b. A bank c. An individual 10. The two types of business partnerships are: a. General and Limited b. Corporate and Individual C. Limited and Non-limited 11. Limited Liability Companies (LLCs): a. b. c. Must pay their investors dividends Protect the personal assets of the owners Have higher tax rates than corporation 12. A corporation legally functions separate and apart from its owners. a. True b. False 13. Which of the following has the potential to raise the most capital for investments? a. A proprietorship b. A partnership c. A corporation 14. A corporation has: a. b. c. A limited life Personal liability for the owners Easy transferability of ownership through the buying and selling of stock 15. The risk-free interest rate is a required rate of return on a security that has a. Market risk b. No risk c. Liquidity risk