WorksheetsGr. 11 - Sole traders and Partnerships
Total questions: 10
Worksheet time: 8mins
Name
Class
Date
1.
A sole trader is
a)
a business with one employee
b)
a business selling one product
c)
a business with one owner
d)
a business with one shop/office
2.
A sole trader has responsibility for
a)
preparing the accounts of the business
b)
all aspects of their business
c)
selling the products
d)
completing spreadsheets
3.
Unlimited liability means
a)
the business is closed down because of too much debt
b)
the owners' personal possessions can be used to cover the firm's debts
c)
the bank will refuse to give loans to the business
d)
the business will struggle to attract investors
4.
An advantage of being a sole trader is
a)
you can take time off whenever you want
b)
you can grow your business really easily
c)
you can receive large amounts of finance from loans
d)
you receive all the firm's profit for yourself
5.
A disadvantage of being a sole trader is
a)
a heavy workload creates stress and pressure
b)
a second opinion on important decisions is always available
c)
arguments and disagreements can harm the progress of the business
d)
the owner gets a smaller share of the profits
6.
A partnership has between 2 and 20
a)
employees
b)
shareholders
c)
owners
d)
customers
7.
It is easier to raise finance in a partnership because
a)
the partners have more personal wealth than a sole trader
b)
all the partners will invest a certain amount in the business
c)
the bank will give a partnership lower interest rates for all loans
d)
partnerships are the only type of business that can receive grants
8.
Which of the following is an advantage of being in a partnership?
a)
Ideas and decision making can be shared
b)
The most senior partner has responsibility for running the business
c)
Partners can have responsibility for many different areas of the business
d)
Each partner gets the same share of the profits
9.
What happens if a partner decides to leave the business?
a)
The other partners continue in the existing business
b)
The partnership is dissolved and reformed
c)
The partner who leaves is given compensation
d)
The partnership has to find a new lawyer
10.
Why may an entrepreneur prefer to set up a business as a partnership?
a)
The entrepreneur would get to make all the decisions
b)
They entrepreneur would get to keep all the profit
c)
The business would benefit from a greater range of skills and knowledge
d)
The business would make more money quicker
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