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Business Organisations Quiz

Total questions: 1

Worksheet time: 6mins

Name
Class
Date
1-10.
1.

Which of the following is a source of capital or finance to a Sole proprietor?

a)

Sale of Shares

b)

Sale of Debentures

c)

Personal Savings

d)

Stolen Money

2.

A type of business organisation where the owners of the business are the main customers is known as

a)

cooperative society

b)

sole trader

c)

partnership

d)

joint stock company

3.

A type of business organisation where 2 to 20 persons pool their resources together to run a business is known as a

a)

joint stock company

b)

public corporation

c)

partnership

d)

cooperative society

4.

What is the main difference between Private and Public Joint Stock Companies?

a)

Number of employees and their salaries

b)

Size of the company and its location

c)

Number of shareholders and availability of financial information

d)

Type of products sold and marketing strategies

5.

Which source of finance involves using profits that the company has earned in the past?

a)

Loans from financial institutions

b)

Retained earnings

c)

Sale of Debentures

d)

Sale of Shares

6.

What is the advantage of Limited Liability for shareholders in a Joint Stock Company?

a)

They can easily sell their shares if they want to liquidate their holding

b)

Their personal assets are at risk in case of company debts

c)

Their liability is limited to the amount they have invested in the company

d)

They have to share profits with other shareholders

7.

Which of the following is not a private sector business organization?

a)

Public Limited Company

b)

Partnership

c)

Public Corporation

d)

Consumer Cooperative

8.

When a joint stock company makes profit, a shareholder is expected to receive

a)

interest

b)

money

c)

wages

d)

dividend

9.

 Who owns a public sector organisation?

a)

Individuals

b)

Shareholders

c)

Specialist managers

d)

The Government

10.

The following kinds of business organizations are set – up to make profit except  

a)

Partnership

b)

Public corporations

c)

Sole Proprietorship

d)

Joint Stock Company