Types of Businesses Chap 1

Question 1

Shareholders

Answer 1

(or members) are the owners of a company

Question 2

Revenue

Answer 2

is the income that a business earns from the sale of goods and services to customers

Question 3

Assets

Answer 3

are items of value owned by a business

Question 4

Market Share

Answer 4

is the proportion of total sales in a given market or industry that is controlled or held by a business calculated for a specific period of time

Question 5

Industry

Answer 5

is the classification of groups of businesses related to the particular good or service they produce

Question 6

Sole Trader

Answer 6

A sole trader business is a business owned and operated by one person

Question 7

Unlimited Liability

Answer 7

means the business owner is personally responsible for all debts of his or her business

Question 8

Partnership

Answer 8

A partnership is a business owned by a minimum of 2 and a maximum of 20 people

Question 9

Silent/Sleeping partner

Answer 9

A silent or sleeping partner contributes financially to the business but takes no part in the running of the partnership