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VCE BM- U1- AOS3-CHAP 7 & 9 REVISION

Total questions: 29

Worksheet time: 11mins

Name
Class
Date
1.

Shareholders of a company cannot be held personally responsible for the debts of a business.

a)

Limited liability

b)

Proprietary company

c)

Unlimited liability

d)

Social enterprise

2.

The traditional business model that is based on a store with a physical presence, such as those located on shopping strips and in shopping centers.

a)

Goodwill

b)

Bricks and clicks

c)

Mortgage

d)

Bricks and mortar

3.

What is a business plan?

a)

Written document that only outlines the business practices of the new business.

b)

Written document that describes the financial aspects of the business.

c)

Written document that only describes the ownership of the business.

d)

Written document that describes all the steps necessary for opening and operating a successful business.

4.

Why do you need a business plan?

a)

To explain your idea

b)

the ability to get financing.

c)

it's a road map that sets objectives and goals for the business.

d)

To help reduce the risk of business failure.

e)

All of the above.

5.

Complete the sentence: A business plan...

a)

is useful once your business is operational but not much help during the startup phase

b)

is not usually needed once the business is up and running

c)

can serve as a tool for helping a business during the startup phase and for managing your business once it is up and running.

6.

Which of the following pieces of information would you expect to find within a business plan

a)

How much staff wages are going to cost

b)

The production method the business will use

c)

Information about competitors products

d)

Opinions collected from the customers

e)

The organisation structure of the company

7.
You are conducting a SWOT analysis and find out that a new competitor is opening within 5 miles of your store. This would be considered a __________.
a)
Strength
b)
weakness
c)
opportunity
d)
threat
8.
Which option lists the internal factors of a SWOT analysis?
a)
strengths, opportunities
b)
opportunities, threats
c)
strengths, weaknesses
d)
weaknesses, and threats
9.

By identifying areas under the weaknesses section how does this help you develop.

a)

So that you can avoid them.

b)

So that you can pretend they don't exist and ignore them

c)

Use them to identify areas for development and focus on them.

d)

By allowing other people to see them and use them against you.

10.

Staff members says that if you want a day-off from work you should order a hambuger from the Leisure Center’s cafeteria.

a)

Strength

b)

Weakness

c)

Opportunity

d)

Threat

11.

Due to an increase in disposable income (purchasing power) over the last six years, local residents have more money to spend on leisure activities.

a)

Strength

b)

Weakness

c)

Opportunity

d)

Threat

12.

It is widely known that Highly Brill has the best-trained and most respected staff of all of the centres in the locality.

a)

Strength

b)

Weakness

c)

Opportunity

d)

Threat

13.

Corporate Social Responsibility is

a)

managing a business in such a way that the broader community including owners, and the environment are taken into account when making business decisions.

b)

managing a business in such a way that the broader community including the employees, competitors, customers and suppliers are taken into account when making business decisions

c)

managing a business in such a way that the broader community including the owners and employees are taken into consideration when making business decisions

d)

managing a business in such a way that the broader community, including employees, customers, suppliers and the environment, is taken into consideration when making business decisions

14.

Customers, investors, employees, and regulators are examples of __________ that are important in the analysis of corporate social responsibility.

a)

special-interest groups

b)

stakeholders

c)

ethics advocates

d)

whistleblowers

15.

A proponent of the classical view of corporate social responsibility would most likely agree with which of these statements?

a)

Social responsibility improves the public image of business.

b)

The primary responsibility of business is to maximize business profits.

c)

By acting responsibly, businesses avoid government regulation.

d)

Businesses can and should do “good” while doing business.

16.

Which of the following is a drawback for an entrepreneur setting up a business as a sole trader?

a)

Profit is shared

b)

Financial accounts are kept private

c)

Limited liability

d)

Unlimited liability

17.

Which type of legal structure is used when two or more people join together to start a business and have unlimited liability?

a)

Sole trader

b)

Partnership

c)

LTD

d)

PLC

18.

Which of the following is an advantage of operating a large established business as a public limited company?

a)

Shares can be sold to the public to raise additional finance

b)

Financial accounts are published

c)

Shares can only be sold to invited investors to raise finance

d)

Owners have unlimited liability

19.

Which of the following statements is always true of a public limited company?

a)

Shareholders have day to day control of the company

b)

Liability is limited

c)

The ability to expand is limited

d)

Board of directors own the business

20.

Which legal structure would an individual wishing to start-up a small business choose because it is quick, easy and inexpensive to set up?

a)

Sole trader

b)

Partnership

c)

LTD

d)

PLC

21.

Advantages of a partnership are:

a)

The partners split the profit

b)

Unlimited liability

c)

Raise more capital than a sole trader

d)

Share the workload

22.

A _______ forms boards to act as governing bodies. It is the most complicated form of business.

a)

franchise

b)

partnership

c)

sole proprietorship

d)

corporation

23.

A _____ is the right or license to sell a company's product or service at a designated location; an example would be McDonalds.

a)

franchise

b)

partnership

c)

sold prprietorship

d)

corporation

24.

Which of the following is NOT a type of business ownership?

a)

partnership

b)

sole proprietorship

c)

entrepreneurship

d)

franchise

25.

Which of the following is a type of business which operates as a separate legal entity?

a)

corporation

b)

franchise

c)

partnership

d)

sole partnership

26.
Which of the following is an example of a franchise?
a)
McDonalds
b)
Lightcliffe Academy
c)
Sports Direct
d)
Primark
27.

What is the advantage of an online business model?

a)

Face to face customer interaction is possible

b)

Customers trust purchasing online

c)

Online fraud isn't a concern

d)

global customer base and world wide access to customers

28.

What are the disadvantages of a franchise business model?

a)

far less independence

b)

high startup costs and fees

c)

can judged by the reputation or performance of other franchisees

d)

all of the above

29.

Which business model is a combination of a physical store and online store?

a)

Bricks and mortar

b)

Bricks and clicks

c)

Online store

d)

Manufacturing warehouse