GCSE OCR Business Studies A292 - Ownership - Sole Proprieter & Partnership

Question 1

A business owned by 2 or more people is called?

Answer 1

Partnership

Question 2

Limited Liability Partnership (LLP) is…

Answer 2

A Partnership where partners have limited liability

Question 3

The document which is a legal agreement that states the responsibility of each partner is called?

Answer 3

Deed of Partnership

Question 4

A person who invests money into a business, but does not take an active role in it is called?

Answer 4

Sleeping partner

Question 5

A Sole Proprietor is…

Answer 5

A person who sets up a business on their own

Question 6

Sole Proprietors and Partnerships have unlimited liability

True or False

Answer 6

True,

this means if the business fails their own personal possessions are at risk

Question 7

Unlimited liability means…

Answer 7

Unlimited liability means that the owners personal possessions are at risk if the business fails

Question 8

Is it easier for Sole Proprietors and Partnerships to raise capital compared to Ltd/Plc companies?

Answer 8

No,

It is harder

Question 9

Sole Proprietors and Partnerships have to make their financial performance public?
True or False

Answer 9

False