Cooperative society quiz

What is a cooperative society?

• A legally created business entity founded with the specific goal of increasing the economic wellbeing of its members and the wider community by supplying products and services to them.

• A business entity that sells goods and services to make a profit to benefit their members, they also offer these goods and service to members for free or at a discount

• A business formed by two or more persons who combine their resources and agree to share risks, profits and losses.

• A business formed by a group to benefit their members financially and may provide them with goods or services

What are the two types of cooperatives? (do not include the word "cooperatives in answer")

(a)  

Service cooperatives include: (multiple answers should be selected)

• Suppliers

• Consumers

• Collective

• Agriculture

• Insurance

Production cooperatives include: (multiple answers should be selected)

• Entertainment service

• Consumer

• Transport service

• Collective production

• Housing

How many characteristics of cooperatives are there?

• 9

• 7

• 12

• 11

Which of the following is correct?

• Taxation- Some cooperatives may be exempt from paying corporate tax, while others may be required to pay it.

• Transfer of ownership- In a cooperative shares are transferable to other members.

• How Capital is acquired- In cooperatives capital is acquired by members donating funds and selling products.

• Motive for operating- The goal of cooperatives is to make a profit.

Select two of the advantages of cooperatives.

• All profits are divided among the members.

• Investing more into the cooperative increases voting power.

• Members are paid a salary

• Exchange of information, knowledge, skills, and efforts.

Select the two disadvantages of a cooperative.

• You have to be of a certain class to gain access to join a cooperative

• Members may lack the necessary skills to establish the organization.

• The decision making process is very slow in the organization

• Voting rights are dependent on how much you invest.

What are the 7 principles of a co-operative?

• Voluntary and selective membership, Demographic membership control, Members economy, Autonomy and Independence, Educational training, Cooperation among cooperatives, Concern for community.

• Voluntary and selective membership, Democratic membership control, Members economic participation Autonomy and Interdependence, Education, training and information, Cooperation among members , Concern for members.

• Voluntary and open membership, Democratic member control, Members economic participation, Autonomy and independence, Education, training and information, Cooperation among cooperatives, Concern for community.

• Voluntary and open membership, Democratic membership control, Members economy, Autonomy and Interdependence, Educational training, Cooperation among members, Concern for community.

Name one principle of a cooperative and explain it