Which of the following is a disadvantage of being a public limited company?

The business is at risk of takeover

Which of the following best describes the term limited liability? If the business fails:

The owner only loses the amount invested in the business

Which of the following is a disadvantage of being a private limited company?

A summary of the business's accounts can be viewed by the public

Which of the following is an advantage of operating a large, established business as a public limited company?

Shares can be sold to the public to raise additional finance

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Business Ownership | AQA GCSE Business

15 termsStudBud Administration4,154 plays

This topic quiz tests GCSE Business students' knowledge & understanding of business ownership. The questions are geared toward the AQA GCSE Business (9-1) specification. #AQAGCSEBusiness #BusinessStudies #BusinessQuiz #tutor2u #tutor2uBusiness

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Questions 15

Answers

1
A private limited company may change into a public limited company because it wants:
To avoid takeoever
Limited liability
Unlimited liability
To raise additional finance
2
Which of the following would be classed as a not-for-profit organisation?
H&M
M&S
EE
OXFAM
3
What are the owners of private and public limited companies called?
Shareholders
Stakeholders
Board of directors
Managers
4
Which of the following is a drawback for an entrepeneur setting up a business as a sole trader?
Unlimited liability
Financial accounts are kept private
Limited liability
Profit is shared
5
Which type of legal structure is used when two or more people start a business together & have unlimited liability?
Partnership
Public limited company
Sole trader
Private limited company
6
Which of the following is a disadvantage of being a public limited company?
Limited liability
Large sums of money can be raised
The business is at risk of takeover
Unlimited liability
7
Which legal structure is quickest, easiest and most inexepensive to set up?
Partnership
Private limited company
Sole trader
Public limited company
8
Which of the following legal structures can sell shares on the stock market?
Private limited company
Partnership
Public limited company
Sole trader
9
Which of the following is a disadvantage of a business operating as a partnership over a sole trader?
Profits are shared
Financial accounts are kept private
Shared responsibility
Unlimited liability
10
Which of the following statements is always true of a public limited company?
Board of directors own the business
Liability is limited
Shareholders have day to day control over the company
The ability to expand is limited
11
Which of the following best describes the term limited liability? If the business fails:
The owner is personally liable for all the debts of the business
There is no limit on the amount the owner has to pay to settle debts
Personal possessions of the owner can be taken to pay any debts
The owner only loses the amount invested in the business
12
Which of the following is a disadvantage of being a private limited company?
It has a seperate legal identity and therefore continuity
A summary of the business's accounts can be viewed by the public
Control is kept over who buys shares in the company
Shareholders' personal posessions cannot be taken to pay any debts
13
Which of the following types of business can advertise shares for sale to the genral public?
Private limited company
Partnership
Public limited company
Sole trader
14
Which of the following is a disadvantage of setting up a business as a partnership?
Shared losses
Shared workload
Shared profit
More ideas generated
15
Which of the following is an advantage of operating a large, established business as a public limited company?
Owners have unlimited liability
Shares can only be sold to invited investors to raise finance
Shares can be sold to the public to raise additional finance
Financial accounts are published

Business Ownership | AQA GCSE Business Flashcards | StudBud

Business Ownership | AQA GCSE Business

15 termsStudBud Administration4,154 plays

Flashcards15 cardsFPractice quizPHost liveL

Questions 15

Answers

1
A private limited company may change into a public limited company because it wants:
To avoid takeoever
Limited liability
Unlimited liability
To raise additional finance
2
Which of the following would be classed as a not-for-profit organisation?
H&M
M&S
EE
OXFAM
3
What are the owners of private and public limited companies called?
Shareholders
Stakeholders
Board of directors
Managers
4
Which of the following is a drawback for an entrepeneur setting up a business as a sole trader?
Unlimited liability
Financial accounts are kept private
Limited liability
Profit is shared
5
Which type of legal structure is used when two or more people start a business together & have unlimited liability?
Partnership
Public limited company
Sole trader
Private limited company
6
Which of the following is a disadvantage of being a public limited company?
Limited liability
Large sums of money can be raised
The business is at risk of takeover
Unlimited liability
7
Which legal structure is quickest, easiest and most inexepensive to set up?
Partnership
Private limited company
Sole trader
Public limited company
8
Which of the following legal structures can sell shares on the stock market?
Private limited company
Partnership
Public limited company
Sole trader
9
Which of the following is a disadvantage of a business operating as a partnership over a sole trader?
Profits are shared
Financial accounts are kept private
Shared responsibility
Unlimited liability
10
Which of the following statements is always true of a public limited company?
Board of directors own the business
Liability is limited
Shareholders have day to day control over the company
The ability to expand is limited
11
Which of the following best describes the term limited liability? If the business fails:
The owner is personally liable for all the debts of the business
There is no limit on the amount the owner has to pay to settle debts
Personal possessions of the owner can be taken to pay any debts
The owner only loses the amount invested in the business
12
Which of the following is a disadvantage of being a private limited company?
It has a seperate legal identity and therefore continuity
A summary of the business's accounts can be viewed by the public
Control is kept over who buys shares in the company
Shareholders' personal posessions cannot be taken to pay any debts
13
Which of the following types of business can advertise shares for sale to the genral public?
Private limited company
Partnership
Public limited company
Sole trader
14
Which of the following is a disadvantage of setting up a business as a partnership?
Shared losses
Shared workload
Shared profit
More ideas generated
15
Which of the following is an advantage of operating a large, established business as a public limited company?
Owners have unlimited liability
Shares can only be sold to invited investors to raise finance
Shares can be sold to the public to raise additional finance
Financial accounts are published