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WorksheetsTypes of business organisations
Total questions: 55
Worksheet time: 28mins
the potential for conflict between partners
Sole trader businesses are owned and managed by..
2-20 people
Multiple owners
1 person
Partners
Which of the following are advantages of a Public limited company
There is no restriction on the buying and selling or transfers of shares.
There is large opportunity to raise very large capital sum in the business.
All shareholders have limited liability.
Not a seperate legal entity
Which of the following businesses is likely to have the most amount of capital
Partnership
Sole Trader
Public limited
Which of the following are advantages of Private Limited Companies
Unlimited Liability
Seperate legal entity
The company cannot offer shares to the general public
Legal formalities to start up
Advantages of this business type are that the owner is their own boss and gets to keep all the profits.
Partnership
Sole Proprietorship
Franchise
Private limited company
Disadvantages for this type of business include: owner pays for everything, hard to get money to start from the bank, owner might lack skills & unlimited liability.
Sole Proprietorship
Franchise
Partnership
Private Limited Company
Partners who are only responsible up to the extent of their investment
Limited Partnership
Franchisee
Sole Proprietor
Which of the following is an advantage of a partnership?
Which of the following is an advantage of a partnership?
partnerships can usually attract financial capital more easily than proprietorships.
management is hard between two or more people
They are inefficient.
Sole trader businesses are owned and managed by..
2-20 people
Multiple owners
1 person
Partners
Which of the following businesses is likely to have the most amount of capital
Partnership
Sole Trader
Public limited
Advantages of this business type are that the owner is their own boss and gets to keep all the profits.
Partnership
Sole Proprietorship
Franchise
Private limited company
Disadvantages for this type of business include: owner pays for everything, hard to get money to start from the bank, owner might lack skills & unlimited liability.
Sole Proprietorship
Franchise
Partnership
Private Limited Company
Which of the following is an advantage of a partnership?
Which of the following is an advantage of a partnership?
partnerships can usually attract financial capital more easily than proprietorships.
management is hard between two or more people
They are inefficient.
This type of business is owned by many people called shareholders.
Sole Proprietorship
Partnership
Limited Companies
Franchise
This type of business is a contractual agreement with a parent company to sell its products/services in another area.
Sole Proprietorship
Partnership
Corporation
Franchise
Nike, Google and Apple are examples of.....
Sole Proprietorships
Partnerships
Limited Companies
Franchises
Disadvantages of this type of business include: company is taxed on profits, regulated by the government, and hard to start.
Sole Proprietorship
Partnership
Limited Companies
Franchise
A partnership has ______________ personal liability
unlimited
limited
Which of the following is NOT a feature of a private sector company?
Shares can be issued to raise capital
Shares can be bought and sold on the Stock Exchange
All owners of the business have limited liability
The business continues after the death of shareholder
Which of the following statements best applies to a public limited company (plc)?
It is owned by the government and is in the public sector
It is owned by shareholders who can sell their shares in the Stock Exchange
It is quick and easy to set up with few legal formalities
Its accounts can be kept private and it receives little coverage in the business press
The main reason why the owners of many private limited companies convert their businesses into public limited companies is because:
they do not want to remain in the private sector
they want to gain the benefits of limited liability
they want to keep the annual accounts secret
they want to raise additional capital to expand the business
Plumbers, decorators, window cleaners, and hairdressers are examples of sole tradership.
TRUE
FALSE
There is no separate legal entity between the owner and the business.
TRUE
FALSE
Sole traders are most suitable for large scale concerns like GOOGLE.
TRUE
FALSE
Sole trader is a business owned by a president.
TRUE
FALSE
The group responsible for carrying out the day-to-day running of a limited liability company is known as the Board of Directors.
TRUE
FALSE
The provision of goods and services that are not provided by private businesses is a major objective of the public sector.
TRUE
FALSE
The first time the shares of a public limited company are offered for sale on a stock exchange is called an Initial Public Offering (IPO).
TRUE
FALSE
Publicly held companies are owned by family members of the same family business.
TRUE
FALSE
Privately held companies can advertise their sales on the Bahrain Bourse website.
TRUE
FALSE
To change the structure from any form to a privately held company, the former should.
Have its accounts checked by an internal auditor.
Have its accounts checked by a dependent auditor.
Have its accounts checked by an accountant
Have its accounts checked by an independent auditor.
Raising finance through the sale of shares is applicable to which form of business.
Sole trader
Partnership
Publicly held company
Cooperative
Why does a business entity majorly change its form to a limited company?
To gain fame
To expand its operations
To gain equity
To gain customers
Privacy is maintained in which form of ownership.
Sole trader
Partnership
Publicly held company
Cooperative
Cooperatives fall under:
Non-profit public enterprise
For-profit public enterprise
Non-profit social enterprise
For-profit social enterprise
These cooperatives occur when a group of independent retailers join together, operate under one brand name.
Employee cooperatives
Community cooperatives
Retail cooperatives
_______________ will aim to earn a surplus/ profit but this is to use to reinvest to support society rather than being paid to owners.
For-profit social enterprises
Non-profit social enterprises
UNICEF, Bahrain’- is an example of:
Cooperatives
NGOs
Charities
‘Muharraq consumer ________________ society’.
NGO
Charity
Cooperative
