Forms of Business Organisation Quiz

What is a sole proprietorship?

• A business owned by multiple individuals

• A business owned by a single individual

• A joint stock company

• A cooperative society

Which of the following is a feature of a sole proprietorship?

• Multiple owners

• Separate legal entity

• Limited liability

• Unlimited liability

What is the maximum number of partners allowed in a partnership firm?

• 50

• 100

• 20

• 10

Which act governs partnership firms in India?

• Companies Act, 2013

• Sole Proprietorship Act, 1950

• Indian Partnership Act, 1932

• Cooperative Societies Act, 1965

In a Joint Hindu Family Business, who is known as the Karta?

• The youngest member

• The eldest member

• The legal advisor

• The financial manager

What is a key limitation of a sole proprietorship?

• Full control

• Limited capital

• Unlimited liability

• Easy to start

What type of partnership exists at the will of the partners?

• Limited partnership

• Particular partnership

• General partnership

• Partnership at will

Which of the following is NOT a type of partner?

• Active partner

• Sleeping partner

• Secret partner

• Independent partner

What is a primary advantage of a joint stock company?

• Single ownership

• Unlimited liability

• Limited liability

• No legal formalities

What is the minimum number of members required to form a private company?

• 1

• 7

• 2

• 5