The Types of Business
This is a company that is legally allowed to act as a person.
Joint Stock Company
How many owners are there in a Sole Proprietorship
One
What document outlines the rights and responsibilities of partners in a partnership?
Partnership Deed
What is the liability of shareholders in a joint stock company?
Limited
What type of liability do members of a cooperative society have
Limited
This is a type of business that has only one owner and is totally responsible for liability and debt
Sole Proprietorship
Sole Proprietorship has a limited area of operation due to -------------- and ------------
Availability of limited finance and Limited managerial abilities.
What is the process by which a partnership ends?
Dissolution
What document is required to formally establish a joint stock company?
MOA
Which principle is the foundation of a cooperative society
One member, one vote
This type of business operates not for profit but to provide some benefits and services to its members
Cooperative Society
Your business and your _______ merged together
Personal assets
Which type of partner contributes capital but does not actively participate in the business____ and also which partners share equal management responsibility and have unlimited liability_______
Silent and General
____ number of directors are required in a public company wherein ___ number in private.
7 and 2
_________cooperative society is established for the retailing of goods at reasonable prices to its members wherein _________ type provides credit facilities to its members .
Consumer Cooperative Society and Credit Cooperative Society .
This is a business with two or more people working together on a product, service, or business
Partnership
Assertion (A):
The owner of a sole proprietorship has unlimited liability for business debts, which makes it riskier than other forms of business.
Reason (R):
In a sole proprietorship, the owner’s liability is limited to the amount invested in the business.
Options:
A) Both A and R are true, and R is the correct explanation of A.
B) Both A and R are true, but R is not the correct explanation of A.
C) A is true, but R is false.
D) A is false, but R is true.
C) A is true, but R is false.
This is a partnership that is made up of a general partner, who manages the business and has unlimited personal liability for the debts and obligations of the partnership, and a limited partner, who has limited liability but cannot participate in management.
Limited Partnership
Assertion (A): The decisions in a joint stock company are made by shareholders individually.
Reason (R): Every shareholder participates directly in daily management.
Both A and R are false.
15 farmers formed a registered group to sell their produce directly in markets, avoiding middlemen. They share profits and make decisions equally.
Under which Act was it likely registered also name the type of cooperative society .
Cooperative Societies Act 1912 and Marketing Cooperative Society
Which 2 forms of business organization require minimum two person to start the business
Partnership and Private company
Statement 1:
Sole proprietorships often face challenges in raising large amounts of capital due to their structure.
Statement 2:
A sole proprietor’s liability is limited to the amount they invest in the business.
Options:
A) Both Statement 1 and Statement 2 are true.
B) Both Statement 1 and Statement 2 are false.
C) Statement 1 is true, but Statement 2 is false.
D) Statement 1 is false, but Statement 2 is true.
C) Statement 1 is true, but Statement 2 is false.
Assertion (A):
In a partnership, profits and losses are typically shared based on the agreement between the partners.
Reason (R):
If no agreement is made, the profits and losses are automatically shared equally among all partners.
Options:
A) Both A and R are true, and R is the correct explanation of A.
B) Both A and R are true, but R is not the correct explanation of A.
C) A is true, but R is false.
D) A is false, but R is true.
A) Both A and R are true, and R is the correct explanation of A.
Who approves the prospectus before it is issued to the public also what is the primary purpose of issuing a prospectus ?
SEBI and To provide detailed information to potential investors about the company’s business, financials, and risks
Assertion (A): Cooperative societies are controlled by government authorities directly.
Reason (R): The management of a cooperative society is in the hands of an elected managing committee.
A is false, but R is true.