BME Year 12 Unit 3 - PEST

Which of the following is NOT a business type?

• Franchise

• Partnership

• Organisation

• Not for Profit Organisation

Which type of business can be defined as a "separate legal entity which has Proprietary (Pty) and Limited (Ltd) in its name?

• Sole Trader

• Partnership

• Franchise

• None of them

Which type of business is exempt from taxation?

• Franchise

• Partnership

• Not for Profit Organisation

• Sole Trader

• Small Proprietary Company

An advantage of franchises is:

• Well established brand, product or service

• Inexpensive to incorporate

• Easy to establish

• May be eligible for tax exemptions

An advantage of sole traders is:

• Limited liability

• Easy to set up

• Well establish brand and product

• Inexpensive to incorporate

An advantage of partnerships is:

• Can sell shares if wanting to leave business

• Management training is available

• Establish operating procedures

• Easy to establish

An advantage of small proprietary companies is:

• Easy to establish

• Limited liability

• Establish operating procedures

• May be eligible for tax exemptions

An advantage of not for profit organisations is:

• Inexpensive to incorporate

• Well established brand or product

• Easy to setup

• Limited liability

Which economic factor is identified using the Consumer Price Index (CPI)?

• Unemployment

• Interest Rates

• Inflation

• Supply of Labour

• Exchange Rates

Which economic factor is set by the Reserve Bank of Australia (RBA)?

• Unemployment

• Interest Rates

• Inflation

• Supply of Labour

• Exchange Rates