
Business Ownership
Authored by Mrs Morel
Business
11th Grade
Used 24+ times

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9 questions
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1.
CATEGORIZE QUESTION
3 mins • 1 pt
Private Limited Companies - Advantages & Disadvantages
Groups:
(a) Advantages
,
(b) Disadvantages
Shareholders may expect a dividend - can cause conflict
Sale of share is restricted - limits amount of capital that can be raised
Limited liability
Banks often more prepared to lend money
Financial info available to public
More complex to set up - must register with Companies House
No chance of takeover without shareholder agreement
2.
CATEGORIZE QUESTION
3 mins • 1 pt
Public Limited Companies - Advantages & Disadvantages
Groups:
(a) Advantages
,
(b) Disadvantages
More complex & expensive to set up - must have £50,000 shares as a minimum
Financial info available to public
Limited liability
Risk of dilution of ownership
Opportunity for employees to own shares - can increase motivation
Banks often more prepared to lend money
Pressure to improve profits
No control over who buys shares - risk of hostile takeover
Enhanced public profile and brand recognition
As shares can be sold to the public, more capital can be raised
3.
MATCH QUESTION
1 min • 5 pts
Match the following
capital
the owners of a private or public limited company
unlimited liability
the responsibility for the debts of a business rests with the owners
limited liability
the money paid to a shareholder from the profits of a limited company
dividend
the money raised to start or develop a business
shareholders
the responsibility for the debts of a business is limited to the amount invested by a shareholder
4.
DROPDOWN QUESTION
1 min • 1 pt
Limited liability is where the responsibility for (a) of a business is limited to the amount invested by a (b) . This is a feature of private and (c) limited companies. (d) liability is where all responsibility for the debts of a business rests with the (e) of the business. A feature of sole traders and partnerships.
5.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
A sole trader can:
only employ one person
employ as many people as the owner wishes
only employ workers where other workers agree
not employ workers because it is a sole trader working on their own
6.
MULTIPLE SELECT QUESTION
45 sec • 1 pt
A partnership has:
a maximum of 20 partners
a maximum of 2 partners
a minimum of 20 partners
a minimum of 2 partners
7.
MULTIPLE SELECT QUESTION
45 sec • 1 pt
A private limited company:
is easier to set up than a plc
is just as difficult to set up as a plc
always has one main shareholder
can sell shares to anyone with the agreement of the main shareholder
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