Unit 7

Question 0

Where a business owner is only liable for the original amount of money invested in the business

Answer 0

Limited Liability

Question 1

A binding legal document which states the formal rights of partners

Answer 1

Deed of Partnership

Question 2

A partnership where all partners have limited liability

Answer 2

Limited liability partnership

Question 3

A partnership where some members contribute capital and enjoy a share of profit, but do not participate in the running of the business. At least one partner must have unlimited liability

Answer 3

Limited partnership

Question 4

A body set up to meet a need

Answer 4

Organization

Question 5

A business organization which is usually owned by between 2-20 people

Answer 5

Partnership

Question 6

Businesses that are owned by individuals or group of individuals

Answer 6

Private Sector

Question 7

A business organization which has a single owner

Answer 7

Sole Trader/ Sole Propietor

Question 8

Where the owner of a business is personally liable for all business debts

Answer 8

Unlimited liability