• 1. 
    A disadvantage of being a sole trader is

  • a heavy workload creates stress and pressure
  • a second opinion on important decisions is always available
  • arguments and disagreements can harm the progress of the business
  • the owner gets a smaller share of the profits
  • 2. 
    Which of the following is NOT an impact of partners arguing and disagreeing with each other?

  • There is a bad working atmosphere in the partnership
  • Less work is completed in the partnership
  • Bad decisions are made in the partnership
  • All partners decide to invest more capital in the business
  • 3. 
    Which of the following is an advantage of being in a partnership?

  • Ideas and decision making can be shared
  • The most senior partner has responsibility for running the business
  • Partners can have responsibility for many different areas of the business
  • Each partner gets the same share of the profits
  • 4. 
    Sole traders and Partnerships are

  • Incorporated
  • Profit making
  • Unincorporated
  • Shareholding
  • 5. 
    How many people own a sole trader business?

  • 3
  • 2
  • 1
  • 20
  • 6. 
    Are Sole Traders large or small businesses?

  • Large
  • Small
  • 7. 
    An advantage of being a sole trader is

  • you can take time off whenever you want
  • you can grow your business really easily
  • you can receive large amounts of finance from loans
  • you receive all the firm's profit for yourself
  • 8. 
    A partnership arrangement is commonly found in

  • the fire service
  • dentists' surgeries
  • local councils
  • supermarkets
  • 9. 
    The sharing of profits in a partnership is based on

  • the age of each partner
  • the experience of each partner in business
  • the number of years each individual has been a partner
  • the amount of capital invested by each partner
  • 10. 
    In a partnership, all profits are shared between the partners.

  • False
  • True
  • 11. 
    Which of the following is NOT included in a Deed of Partnership?

  • How the profit is to be split between the partners
  • The name of the partnership's accountant
  • The responsibilities of each partner
  • The date the partnership started up
  • 12. 
    A partnership has between 2 and 20

  • employees
  • shareholders
  • owners
  • customers
  • 13. 
    What happens if a partner decides to leave the business?

  • The other partners continue in the existing business
  • The partnership is dissolved and reformed
  • The partner who leaves is given compensation
  • The partnership has to find a new lawyer
  • 14. 
    A sole trader and partnership can expand by

  • renovating their premises
  • buying more shares in the business
  • opening another branch
  • making employees redundant
  • 15. 
    It is easier to raise finance in a partnership because

  • the partners have more personal wealth than a sole trader
  • all the partners will invest a certain amount in the business
  • the bank will give a partnership lower interest rates for all loans
  • partnerships are the only type of business that can receive grants
  • 16. 
    Which of these businesses is a sole trader?

  • Domino's
  • Marks & Spencer
  • Amazon
  • Local Newsagent
  • 17. 
    Which of the businesses has unlimited liability?

  • Sole Trader
  • Partnership
  • Both
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