A firm owned and managed by a family is an example of ______?

  • A joint stock exchange
  • B cooperative society
  • C sole proprietorship
  • D partnership

The correct answer is D. partnership

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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