WorksheetsBUSINESS MGT CHAPTER 2
Total questions: 22
Worksheet time: 14mins
What best defines a small business?
A business with many branches
A business owned by the government
An independent business with little market influence
A business that earns high profit
Why are small businesses important to the Malaysian economy?
They reduce competition
They create jobs and encourage innovation
They replace large corporations
They eliminate unemployment completely
Which of the following is NOT a popular area of small business?
Services
Retailing
Wholesaling
Space exploration
Entrepreneurship refers to:
Managing an existing company
Avoiding business risks
Seeking business opportunities under risk
Working in a familybusiness
Which statement best describes an entrepreneur?
Someone who avoids uncertainty
Someone who focuses only on routine work
Someone who accepts risk to grow a business
Someone who only manages employees
What is the main purpose of a business plan?
To advertise the business
To attract customers
To describe business strategy and implementation
To reduce employee workload
Which of the following is an advantage of franchising?
Full business freedom
Proven business model
No start-up cost
No rules from franchisor
Which is a disadvantage of franchising?
Training provided
Established brand name
Ongoing royalty payments
Access to management expertise
Which source of finance involves high risk but high return?
Bank loans
Personal savings
Venture capital
Family loans
The MOST common reason small businesses fail is:
Bad location
Poor management
Too many customers
Strong demand
A sole proprietorship is:
Owned by shareholders
Owned by partners
Owned and operated by one person
Owned by the government
What is the biggest disadvantage of a sole proprietorship?
High taxation
Unlimited liability
Complex formation
Shared control
In a partnership, unlimited liability applies to:
Limited partners only
General partners only
All employees
Customers
Which business form combines group ownership for mutual benefit?
Corporation
Cooperative
Sole proprietorship
Franchise
A corporation is best described as:
A temporary business
A separate legal entity
A business owned by one person
A partnership with many owners
One advantage of a corporation is:
Unlimited liability
Easy formation
Limited liability
No taxation
Double taxation refers to:
Paying tax twice in one year
Company profit taxed and dividends taxed
High SST rates
Employees paying income tax
Who elects the board of directors in a corporation?
Managers
Employees
Shareholders
Customers
Ali owns a food stall alone and is personally responsible for all business debts.
What form of ownership is this?
Partnership
Corporation
Sole proprietorship
Cooperative
A group of farmers forms a business to share resources and profits for mutual benefit.
This business is a:
Franchise
Corporation
Cooperative
Partnership
Sarah invests money in a business but does not participate in management and her liability is limited.
She is a:
General partner
Limited partner
Shareholder
Sole proprietor
In ONE word, how do you feel about today’s Business class?
There is no right or wrong answer — be honest
