Question #1

What type of business is NASA?

a) A public company

b) A company listed offshore, off this planet/NASDAQ

c) A statutory authority

d) A private company

e) A going concern

Question #2

Identify the three types of businesses organisations

a) Woolworths, Coles and Costco

b) Sole traders, partnerships, companies

c) Corporation, PLC, Not for profit

d) Supermarkets, Retailers and wholesalers

e) Resources, Manufacturing, Services

Question #3

What is a medium business?

a) More then 20% market share

b) Employing less than 3 employees

c) Employing less than 10 employees

d) Employing between 20 and 199 employees.

e) Employing more than 200 but less than 1000.

Question #4

A Franchisee

a) Is a French bread shop operator

b) Pays the franchisor for the right to use the business concept

c) Must be a limited company

d) Must be an unlimited company

e) Receives payment from the franchisor for the right to use the business concept

Question #5

What are the advantages of operating as a sole trader?

a) The owner cannot be personally sued

b) The business does not have to pay GST

c) Being your own boss

d) Paying less tax

e) Exempt from the Carbon Tax

Question #6

There are fewer laws and regulations concerning sole trader businesses, because

a) They are too small to make a difference

b) They don't contribute much to the economy anyway

c) To allow flexibility and to encourage small business ownership

d) The have unlimited liability, so they must cover all their debts

e) So they won't be easy pray to greedy lawyers

Question #7

Ethical and socially responsible management is applicable to

a) Large businesses only

b) Small businesses only

c) Both large and small businesses

d) Profit making businesses

e) Both not for profit and charitable funds

Question #8

A public corporation

a) Is owned by the public, i.e. the government

b) Is owned by private individuals

c) Is owned by its stakeholders

d) Is owned by its shareholders

e) Is owned by its directors

Question #9

From a business sense what IS one of the advantages of trading as Partnership

a) Sharing the profits

b) Limited Liability

c) Paying less tax

d) Sharing the load and diversity in skills

e) Some one to play chess with when its not busy

Question #10

From a business sense what is NOT an advantage of trading as a Sole Trader

a) Inexpensive to establish and run

b) No asset protection so creditors of the business could have access to the sole trader’s personal assets

c) Business can lend money to family members interest free

d) Income assessed at individual tax rate (advantage only if on a low rate)

e) Committing fraud is easier as there are less rules and regulations

Question #11

Maintaining a safe work place

a) Is an expensive extravagance

b) Contributes to the bottom line

c) Is a legal requirement

d) A safe place to keep cash

e) Is only necessary in a manufacturing industry

Question #12

A triple bottom line is made up of

a) Place, position and price

b) People, planet and profit

c) Power Point Position

d) Private Polling Position

e) Gross, net and accrual profit

Question #13

Which of the following alternatives are external influences on business?

a) Debt, equity and retained profits

b) Shareholders, managers and owners

c) Interest rates, currency exchage rates and technology

d) Customers, suppliers and employees

e) Mining magnates, Media barons and phone tapping crimes

Question #14

Which term is used to describe a business that is no longer able to pay its debts as they fall due?

a) Insolvent

b) Bankrupt

c) Liquid

d) Negative cash flow

e) A business with bad management

Type Your Name*

Submit Answers