Define: firm and transaction costs. Define: proprietorship, partnership, and corporation, and provide an advantage and disadvantage of each. Describe the two chief goals of business firms. Describe two types of financing used by proprietorships and partnerships, and two types of financing used by corporations. Describe 'nonprofit firms', along with both private and public non-profit firms. Describe Adam Smith's 'Division of Labor' concept. Also discuss three ways that Smith felt that division of labor increased labor productivity. Division of labor eventually led to the development of the assembly line, which also enhances productivity. As a side note, please do some internet research on the 'Lordstown Syndrome' which shows some of the negative aspects of assembly line work