WorksheetsETR - FORMS OF BUSINESS
Total questions: 10
Worksheet time: 6mins
Tony and Alex own a saloon together. They share equal responsibility and each receive 50% of the profits. What form of business organization is this?
Sole proprietorship
Partnership
Private limited company
Public limited company
Advantages of this business type are that the owner is their own boss and gets to keep all the profits.
Sole proprietorship
Partnership
Private limited company
Public limited company
The owners of a corporation are called
Directors
Partners
Founders
Shareholders
How is a partnership organized?
Every partner shares both responsibility and liability
No partner is responsible for the debts of the partnership beyond his or her investment
Only one partner is responsible for the debts of the partnership
The business can continue even with the death of any one partner.
Ms Lim wants to start a business to sell her sister's baked goods. But she doesn't want to have to comply with lots of laws and regulations.
Which business form(s) is/are the most suitable for her?
Sole proprietorship
Partnership
Private limited company
Public limited company
The Companies Act ____ repealed the Companies Act ____ and changed the landscape of company law in Malaysia.
2016, 1967
1965, 2016
2016, 1965
2006, 1958
The followings are correct about corporations EXCEPTS
Pay corporate income tax
Unlimited liabilities
Sell shares to the investors
The business is a separate legal entity
- The shares are not traded in the stock exchange
- The company has to appoint external auditors to verify its financial report as well as its “well-being”
This refer to:
Sole proprietorship
Partnership
Private limited company
Public limited company
Characteristic of a private limited company are:
The life span of the company is not dependent on the death or withdrawal of its members.
Information of the company must be shared with shareholders and general public
A minimum of one shareholder and a maximum of 50 shareholders.
The shareholders' personal assets are not available to the company’s creditors.
Example of a public limited company:
Amir Photography Enterprise
Nestle (Malaysia) Bhd
Poliklinik Dr Azhar & Rakan-Rakan
D'herbs Holding Sdn. Bhd.
