Final answer:
The three major legal forms of business enterprises are sole proprietorship, partnership, and corporation. Each form has its own advantages and disadvantages.
Step-by-step explanation:
The three major legal forms of business enterprises are sole proprietorship, partnership, and corporation.
A sole proprietorship is a business owned and operated by one person. It is the simplest form of business organization and the owner has complete control and responsibility for the business.
A partnership is formed when two or more individuals share ownership and responsibilities for a business. Partnerships can be general, with all partners sharing the risks and profits equally, or limited, with one or more partners having limited liability.
A corporation is a separate legal entity owned by shareholders. It offers limited liability protection to its owners and has the ability to sell shares of stock to raise capital.