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Term 1 Business

Total questions: 55

Worksheet time: 41mins

Name
Class
Date
1.

The decade of Entrepreneurship was in the

a)

2000's

b)

1990's

c)

1980,s

d)

1970's

2.
What is the first stage of business activity?
a)
Primary
b)
Secondary
c)
Tertiary
3.
What is the third stage of business activity?
a)
Primary
b)
Secondary
c)
Tertiary
4.
Which of the following is an example of PRIMARY business activity?
a)
Factories
b)
Shops
c)
Schools
d)
Farmers
5.
Which of the following is an example of SECONDARY business activity?
a)
School
b)
Factories
c)
Shops
d)
Farmers
6.

Businesses including farming, fishing, forestry & the extraction of natural resources e.g. oil, minerals etc.

a)

Tertiary Sector

b)

Primary Sector

c)

Secondary Sector

d)

The economic problem

7.

Land, labour, capital and enterprise are collectively known as

a)

Goods and services

b)

Business cycle

c)

Factors of production

d)

Output

8.

Organisations run by central or local government are often referred to as

a)

Private sector

b)

Voluntary sector

c)

Public sector

d)

Mixed economy

9.

Which of these is the best definition of the ‘economic problem’?

a)

People do not have enough money.

b)

There are not enough resources to satisfy people’s wants.

c)

There are too many factors of production.

d)

The amount of something produced by a person, machine or industry.

10.
Division of labour can be defined as:
a)
Workers specialise on just one task and become better at it.
b)
Workers become specialist in all jobs.
c)
All firms only have one worker
d)
No workers are employed as machines always do all the work.
11.

Which is a disadvantage of 'division of labour'?

a)

workers and trained in one task & specialised in this, increasing efficiency.

b)

Quicker & cheaper to train workers as fewer skills need to be taught.

c)

Workers can become bored from doing just one job - efficiency might fall.

d)

Less time is wasted moving from one workbech to another.

12.

What is 'added value'?

a)

is the next best alternative given up by choosing another item.

b)

is the difference between the selling price of a product and the cost of bought-in materials and components.

c)

It's a good or service essential for living.

d)

is the lack of sufficient products to fulfil the total wants of the population.

13.

Which of these business activities are usually NOT in the public (government) sector?

a)

grocery stores

b)

health

c)

defence

d)

public transport

14.

What is de-industrialisation?

a)

The period of social and economic change that transforms a society from an agrarian one into an industrial one.

b)

Economic resources are owned, planned and controlled by the state.

c)

Important industries are brought under government ownership.

d)

it occurs when there is a decline in the importance of the manufacturing of a country.

15.

-Two or more owners

-Lower taxes

-Unlimited Liability

a)

Partnership

b)

Sole Proprietorship

c)

Corporation

d)

All of the above

16.

What type of paperwork is needed for a Partnership?

a)

Business License

b)

Partnership Agreement

c)

Corporate Charter

d)

Franchise Agreement

17.

Which of the following is a disadvantage of setting up a business as a partnership?

a)

Shared losses

b)

Shared workload

c)

Shared profit

d)

More ideas generated

18.

list two disadvantages of partnership (REM)

a)

(I) partners might not all contribute equal

(ii) partnership has unlimited liability

b)

(i) cash flow is often a problem

(ii) there could be a lack of capital and cash flow

c)

(i) limited amount of capital available

(ii) ineffective services

19.

Joint ventures are

a)

a small to medium-sized business that is owned by shareholders who are often members of the same family; this company cannot sell shares to the general public

b)

a limited company, often a large business, with the legal right to sell shares to the general public - share prices are quoted on the national stock exchange.

c)

two or more businesses agree to work closely together on a particular project and create a separate business division to do so

d)

a business in which one person provides the permanent finance and, in return, has full control of the business and is able to keep all of the profits.

20.

A sole trader is a business in which one person provides the permanent finance and, in return, has full control of the business and is able to keep all of the profits.

a)

TRUE

b)

FALSE

21.
What is a social enterprise
a)
A business whose goal is  to maximise profit
b)
To meet society needs
c)
To maximise sales
d)
To maximise profit margins
22.
Which of the following is not an advantage of a sole proprietorship?
a)
Easy to start
b)
Owner is their own boss
c)
Owner has unlimited liability
d)
Owner receives all the profits
23.
In a Partnership, the partner is also known as the:
a)
Financier 
b)
Monopolist
c)
Venture Capitalist
d)
Silent Partner
24.

Mr. Lewis pays taxes on dividends for stocks he owns in a manufacturing company. The company also pays taxes on its income before distributing it to stockholders.

a)

Sole Proprietorship

b)

Partnership

c)

Corporation

25.

Which of the following is a disadvantage of franchise?

a)

assistance from a parent company

b)

name recognition

c)

shared advertising expenses

d)

must follow parent company business structure

26.

___________ are words, symbols, names or devices used to specify the source of the goods, and are used to differentiate them from others.

a)

copyrights

b)

patents

c)

licenses

d)

trademarks

27.

in a cooperative society the principle followed is ____

a)

one man one vote

b)

multiple votes

c)

one share one vote

d)

no vote

28.

liability of the members in a cooperative society is____________

a)

Limited to the extent of shares the hold

b)

unlimited liability

29.

the capital for the cooperative society raised_____________

a)

invest from members

b)

deposits from members

c)

government grants

d)

A & B

e)

all the above

30.

………….. is a voluntary and democratic association of human beings, based on equality of control, opportunity, distribution and mutuality for the promotion of their common interests as producers or consumers.

a)

partnership

b)

Hindu joint family form of business

c)

Co- Operative

31.

Economic resources are owned, planned and controlled by the state.

a)

Command economy

b)

Mixed economy

c)

Free-market economy

32.

Economic resources are owned and controlled by both private and public sectors.

a)

Command economy

b)

Mixed economy

c)

Free-market economy

33.

Economic resources are owned largely by the private sector with very little state intervention.

a)

Command economy

b)

Mixed economy

c)

Free-market economy

34.

The only liability – or potential loss – a shareholder has if the company fails is the amount invested in the company, not the total wealth of the shareholder.

a)

Private limited company

b)

Limited liability

c)

Public limited company

35.

A limited company, often a large business, with the legal right to sell shares to the general public – share prices are quoted on the national stock exchange.

a)

Public limited company

b)

Private limited company

36.

This states the name of the company, the address of the head of ice through which it can be contacted, the maximum share capital for which the company seeks authorisation and the declared aims of the business.

a)

Articles of Association

b)

Memorandum of Association

37.

This states the name of the company, the address of the head of ice through which it can be contacted, the maximum share capital for which the company seeks authorisation and the declared aims of the business.

a)

Articles of Association

b)

Memorandum of Association

38.

A business organisation that owns and controls a number of separate businesses, but does not unite them into one unified company

a)

Joint venture

b)

Public corporation

c)

Holding company

39.

A business that uses the name, logo and trading systems of an existing successful business.

a)

Franchise

b)

Cooperatives

40.
Which of the following is not an effective way of measuring the size of a business?
a)
number of employees
b)
value of sales
c)
value of capital invested
d)
profit level
41.

Revenue definition is........

a)

The total value of all long-term finance invested in the business

b)

Sales of the business as a proportion of total market sales

c)

Total value of sales made by a business in a given time period

d)

The total value of a company's issued shares

42.

Sales of the business as a proportion of total market sales

a)

Market capitalisation

b)

Market share

c)

Revenue

d)

Capital employed

43.

Market capitalisation = current share price X

a)

total number of shares issued

b)

total number of people

c)

inputs

d)

total revenue

44.

Market share =

a)

(total sales of business/ total sales of industry) x 100

b)

(Total sales of industry/ total sales of business) X 100

c)

Total sales X 10

45.

A merger is

a)

Two business agreeing to becoming one new business

b)

One business buying shares in another business

c)

One business taking over control of another business

d)

Two businesses co operating with each other.

46.

Internal or external growth?


A restaurant opens another restaurant in a different city

a)

internal

b)

external

47.

Internal or external growth?


A restaurant merges with a farm.

a)

internal

b)

external

48.

They want to make a profit on the money they have invested in the business.

a)

customers

b)

managers

c)

government

d)

owners / shareholders

49.

Businesses pay them taxes.

a)

local community

b)

customers

c)

employees

d)

government

50.

Which stakeholder would have the following objective?

Objective: Make sure the business is successful and profitable

a)

employees

b)

Suppliers

c)

owners

d)

local government

51.

Which stakeholder would have the following objective?

Objective: Good levels of pay, job satisfaction, job security, and may also be interested in career progression

a)

employees

b)

customers

c)

owners

d)

managers

52.

Which stakeholder would have the following objective?

Objective: Good quality and a range of products at reasonable prices

a)

local community

b)

customers

c)

owners

d)

government

53.

Which of the following are external stakeholder groups?

a)

customers

b)

employees

c)

government

d)

managers

e)

pressure groups

54.

They supply products to a business (For example: coffee beans and milk to make a cup of coffee)

a)

lenders

b)

suppliers

c)

managers

d)

government

55.

Businesses can have a positive effect on them. For example, businesses create jobs or support local charities.

a)

communities

b)

managers

c)

lenders

d)

employees