Business Ownership Questions! Trivia Quiz

16 Questions | Total Attempts: 107

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Business Ownership Questions! Trivia Quiz

Do you know anything about business ownership? Do you suppose you can pass this quiz? Business ownership involves having control over a business enterprise and being able to influence its functioning and operations. One example of a type of ownership is a sole proprietorship, which is the simplest form of business type. If you are interested in business or business ownership, then this is the quiz for you.


Questions and Answers
  • 1. 
    Which of the following is NOT an advantage of a sole proprietorship?
    • A. 

      Owners are able to control all aspects of their business.

    • B. 

      Owners receive all profits from the business.

    • C. 

      Owners assume all liabilities from the business.

    • D. 

      The owner often deals with customers personally.

  • 2. 
    Which of the following is NOT a DIS-advantage of a sole proprietorship?
    • A. 

      The owner often has a personal relationship with customers/clients.

    • B. 

      The owners personal assets can be claimed by creditors is the business goes bankrupt.

    • C. 

      The owner must provide all capital investments to make the business grow.

    • D. 

      If the owner becomes ill or cannot work for some reason, the business could fail.

  • 3. 
    What are the three real-life examples of a sole proprietor business?
    • A. 

      A fast food restaurant chain, A department store, A multinational corporation.

    • B. 

      Mountain Equipment Co-Op, Costco, Zellers.

    • C. 

      A barbershop, A corner variety store, A local restaurant.

  • 4. 
    Which of the following is NOT an advantage of a partnership?
    • A. 

      There are more knowledge and skill available for the business.

    • B. 

      More money can be raised to invest in the business.

    • C. 

      Debt responsibility is shared.

    • D. 

      Decisions may cause conflict between partners.

  • 5. 
    Which of the following is NOT a DIS-advantage of a partnership?
    • A. 

      One partner can keep the business running of the other partner falls ill.

    • B. 

      Creditors can take away personal assets if the business goes bankrupt.

    • C. 

      The amount of capital that can be raised is limited.

  • 6. 
    What are the items listed in a partnership agreement?
    • A. 

      The name and location of the business.

    • B. 

      The nature of the business and the names of the owners.

    • C. 

      The duties and responsibilities of the business owners.

    • D. 

      The amount of capital each partner will contribute to the business and the amount of profit that each will receive.

    • E. 

      All the above.

  • 7. 
    A corporation's ownership is divided up into many parts.  What are these parts called?
    • A. 

      A stake.

    • B. 

      A charter.

    • C. 

      A share (or stock).

    • D. 

      A proxy.

  • 8. 
    Who makes the day-to-day operating decisions in a corporation?
    • A. 

      The executives.

    • B. 

      The board of directors.

    • C. 

      The shareholders.

    • D. 

      The clients.

  • 9. 
    Who makes the larger decisions in a corporation? (such as what to produce, how to produce it, who will be the executives, etc.,)
    • A. 

      The shareholders.

    • B. 

      The board of directors.

    • C. 

      The Clients.

    • D. 

      The employees.

  • 10. 
    Which of the following is NOT an advantage of a corporation?
    • A. 

      The executives do not have personal contact with the customers and employees.

    • B. 

      Large amounts of capital can be raised to invest in the company.

    • C. 

      A corporation often has a large number of employees with a wide variety of skills.

    • D. 

      Legally a corporation has 'limited liability', meaning that shareholders cannot have their personal assets taken away if the company goes bankrupt.

  • 11. 
    Which of the following is NOT a DIS-advantage of a corporation?
    • A. 

      The executives and shareholders usually have no contact with employees or customers.

    • B. 

      Share holders who only own a few shares have very little input in company decisions.

    • C. 

      The corporation can exist forever as long as it doesn't go bankrupt.

    • D. 

      Profits and dividends that shareholders receive are taxed at high rates.

  • 12. 
    Corporations and co-operative businesses are very similar.  Which of the following IS NOT a similarity between a corporation and a co-operative business?
    • A. 

      A board of directors is elected by the shareholders.

    • B. 

      A government charter is required to conduct business.

    • C. 

      Each shareholder gets one vote on company decisions regardless of how many shares they own.

  • 13. 
    Which of the following is NOT an advantage of a small business
    • A. 

      Owners usually invest their own savings into the company and are therefor motivated to be successful.

    • B. 

      They often carry a lot of debt needed to expand and grow the business.

    • C. 

      They are often run by creative and skilled people.

    • D. 

      They can expand quickly and provide more jobs.

  • 14. 
    What are some of the advantages of owning a franchise (i.e. being a franchisee)?
    • A. 

      Owners get management training and help with setting up their business.

    • B. 

      There is a guaranteed supply of acceptable products and a guarantee that another franchise will not open near by.

    • C. 

      The franchisor takes care of product management and marketing.

    • D. 

      All of the above

  • 15. 
    What are some of the disadvantages of owning a franchise (i.e. being a franchisee)?
    • A. 

      Franchisees often have to pay high monthly or annual fees to the franchisor.

    • B. 

      Franchisees must strictly follow the rules stated in the franchise agreement.

    • C. 

      A franchisee is only allowed to sell products provided by the franchisor.

    • D. 

      All of the above

  • 16. 
    Which of the following is NOT supposed to be the purpose of a Crown corporation?
    • A. 

      To run an essential service (such as electric power, postal services, transportation systems, etc.,)

    • B. 

      To collect more money for the government.

    • C. 

      To provide competition with large corporations to keep prices down for consumers.