Business Ownership 1
One Owner. Unlimited Liability.
What is Sole Proprietorship?
State a disadvantage of a Sole Trader
One of
owner responsible for all debts (unlimited liability)
If owner passes away – business does not operate
Limited finances
Must be multiskilled to be successful
A Business that does something.
What is a service business?
A=L+OE
What is Assets=Liability +Owners Equity
More than one owner. Potential unlimited liability.
What is partnership?
A business structure that can incur debt, sue and be sued
Company
A business that makes something.
What is a Manufacturing Business?
Government-owned corporations (GOCs) are established by what level of Government in response to a need in a community
State
Liabilities=_________
What is Debt?
The business structure with the least legal and statutory regulations
Sole Trader
Jill has a gift shop. What type of business?
What is a merchandising business?
Government business enterprises (GBEs) are established to fulfil a purpose by what level of Government?
Federal / Commonwealth (Australia)
Double entry accounting
Debits = Credits
Unlimited Owners. Usually has Public stakeholders.
What is Corporation?
To generate a profit _________ must exceed (be more than) expenses
revenue
Assets=_____
What is Anything of value that a business owns?
_____________ is a person or group who can affect or be affected by the actions of a business. They can be external or internal.
What is stakeholder?
An organisation that is formed to provide goods, services or funds to benefit a community
Not for Profit Based Business
or "Not for Profit"