True or False:

1) A sole proprietor is subject to unlimited personal liability for the debts of the business.

2) The major advantage to investors in a corporation stems from the fact that their risk of loss is limited to the amount of their investment.

3) A joint venture typically relates to the carrying out of a single enterprise or transaction.

4) Unincorporated associations are generally formed to further a common purpose.

5) A cooperative consists of a group of two (2) or more independent persons or enterprises that cooperate for a common objective or function.

6) A partnership involves partners' contributions of capital, services, or a combination of these.

7) A partnership is organized to make a profit for its members.

8) The rights of partners are determined by the partnership agreement.

9) A partnership may occur even though the parties did not label their relationship a partnership.

10) The fact that parties share profits and losses is strong evidence of the existence of a partnership.

11) Even limited partners are completely liable for debts of the business.

12) Firms offering professional services (for example, doctors), are prohibited from becoming limited liability partnerships.

13) In a limited partnership, general partners are not responsible for the debts of the firm.

14) It is possible for a limited partner to be subject to the debts of the firm if the limited partner participates in the control of the business.

15) A limited liability company may be managed directly by the owners.

16) A corporation is an artificial person that is created by government action.

17) Debts of a corporation are not the debts of the persons running the corporation or owning shares of stock in it.

18) Shareholders ordinarily cannot be sued for corporate liabilities.

19) A quasi-public corporation is one that is organized for charitable or benevolent purposes.

20) A de facto corporation is accorded legal recognition despite some recognized defect in its incorporation.

21) Under the Clean Water Act, the EPA has developed effluent guidelines, which are ranges for discharges organized according to industrial groups and for specific plants in each of these groups.

22) Funds from the Superfund are used to pay the cost of eliminating or containing condemned waste sites.

23) Only government agencies can sue for violations of an environmental protection law.

24) The EPA is the primary federal agency responsible for the enforcement of environmental laws.

25) Conduct that unreasonably interferes with the enjoyment of land is a nuisance.