ENT3003 Chapter 14 Exam 4

SELECT ALL THAT APPLY. What are some of the factors that determine if a worker is an independent contractor and not an employee?

-sets own hours -not provided annual leave

What law protects employees from discrimination?

Equal Employment Opportunity

In China, Apple lost a court battle with ______, which claimed it owned the iPad trademark in the Chinese market.

Proview International Holdings

Why is it important to pick the proper legal entity?

To establish the right business structure

Choosing the wrong entity may expose the owners to ______.

personal liabilities

SELECT ALL THAT APPLY. Which of the following are examples of intellectual property?

-inventions -slogans -logos

SELECT ALL THAT APPLY. What does the Fair Labor Standards Act provide for?

-minimum wage -overtime pay

What is the main advantage of a limited liability company (LLC)?

There is limited liability with no double taxation.

SELECT ALL THAT APPLY. Which organizations can be not-for-profits if they qualify as a 501(c) under the tax code?

-civic leagues -charitable organizations -social clubs

SELECT ALL THAT APPLY. Why would a business need an employer identification number (EIN)?

-filing tax returns -employee reporting to state agencies

Why did the inventor of the intermittent windshield wiper sue Chrysler and Ford?

They copied the technology he had patented.

Why is it risky to use online legal resources?

The information may not be accurate for your type of startup.

In order for any item to qualify for IP protection, it must be ______.

novel

What is downside of forming a C corporation?

double taxation

A benefit corporation is the same as a not-for-profit entity.

false

An entrepreneur should wait until being fully funded to hire a legal team to determine entity choice.

false

Companies like Google protect entrepreneurs and businesses from online pirates.

false

Companies must provide a retirement plan for employees.

false

Copyright lasts forever.

false

If an employee creates IP, it stays at the company when the employee leaves.

false

Mark Zuckerberg did not need outside legal help when he created Facebook.

false

The Equal Employment Opportunity Act is meant to protect workers around the world.

false

What is a group of two or more people who have made a decision to co-manage and share in the profits and losses of a business?

general partnership

What describes intangible personal property created by human intelligence, such as ideas, inventions, logos, and trademarks?

intellectual property

The best resource for avoiding costly legal mistakes is ______.

legal counsel

A common mistake of inventors is ______.

sharing the innovation prior to obtaining the patent

The person who owns a business and has full exposure to its liabilities is a ______.

sole proprietor

Why would an entity want to have a vesting schedule for ownership?

to keep co-founders from retaining ownership if they leave the company

Any word, name, symbol, or device used in a business to identify and promote a product is ______.

trademark

As long as a formal agreement has been reached, the ownership is settled.

true

Intellectual property rights are not protected in the same way in every country.

true

Legal fees will vary with the complexity of the startup business.

true

To form a general partnership, all partners must be actively involved in the partnership.

true

Employers register within the state's labor department to provide ______ for employees.

unemployment compensation

The best lawyers will not only provide legal counsel but also add ______.

value