A firm owned and managed by a family is an example of ______?
ECONOMICS
JAMB 2017
A firm owned and managed by a family is an example of ______?
- A. joint stock exchange
- B. cooperative society
- C. sole proprietorship
- D. partnership
Correct Answer: D. partnership
Explanation
A partnership may be defined as a type of business organization in which two to twenty persons agree legally to setup and manage a business outfit with the sole aim of making profit. The people involved in partnership agreement are called partners and they share the profit, losses and risk of the business. A family owned business is any business in which two or more family members are involved and the majority of ownership or control lies within a family.
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