NATURE OR TYPES OF BUSINESS AND FORMS OF BUSINESS

ORGANIZATION

GROUP 1
Leader: Alcozar, Krisha Angela U.
Members: Alonzo, Angeline O.
Anana, Abigael S.
Guerrero, Jay-R M.

Multiple Choice:

1. It is a type of business organization that deals with the buying and selling of goods.
A. Merchandising
B. Buy and Sell
C. Barter
D. Cooperatives
2. It is essential to choose the right partner/s in your business--the one with
complementary talents, skills, and experience to yours.
A. Ease of formation
B. The complexity of profit-sharing
C. Availability of capital
D. Diversity of expertise
3. It is a method of growing franchise systems wherein a franchise enters into a
relationship with an existing company and converts it into a franchise unit.
A. Franchising
B. Job Franchise
C. Business format franchise
D. Conversion Franchise
4. The owners of a Cooperative are called________?
A. Shareholders
B. Subordinates
C. Members
D. Stakeholders
5. Odd one out.
A. Diversity of expertise
B. Availability of capital
C. Ease of Formation
D. Limited Life
6. Online transactions only involve manufacturers, wholesalers, retailers, etc.
A. Business to customer
B. Customer to customer
C. Business to business
D. Business to producer
7. It is a type of business strategy that is used by some direct sales companies to sell
products and services?
A. Sub Contracting
 B. Multi level marketing
C. Corporations
D. None of the above
8. Which of the following is not part of classification of services?
A. Information Processing
B. Application Processing
C. Mental Stimulus Processing
D. Possession Processing
9. A person or group who has purchased two or more franchise locations.
A. Franchisor
B. Franchisees
C. Multi-unit Franchisee
D. Area Developer
10. This method is similar to make to stock, except the factory will produce component
parts in anticipation of orders for assembly.
A. Make-To-Order
B. Manufacturing
C. Production
D. Make-To-Assemble
11. Which of the following is an example of multi level marketing?
A. Burger King
B. Puregold
C. Watsons
D. Avon
12. Promotes the concept of sharing resources is the ____________ of the Cooperative.
A. Disadvantage
B. A and D
C. None of the Above
D. Advantage
13. Cooperatives are regulated by CDA. What is the meaning of CDA?
A. Cooperative Development Authorities
B. Cooperative Development Awareness
C. Cooperative Dissemination Authorities
D. Cooperative Development Association
14. These are the advantages of sole proprietorship except:
A. No extra taxes
B. It is easy to exit a business
C. It has a limited life
D. Sole receiver of profit
15. Service Providers needs __________ to do their job completely.
A. Customer Participation
B. Planning
C. Nature
D. Gossip
16. The following are the characteristics of service except?
A. Hospitality
 B. Intangibility
C. Perishability
D. Inseparability
17. What do you call a merchandising company that sells goods to retailers?
A. Business man
B. Retailer
C. Whole salers
D. None of the above
18. It includes hiring of laborer from outside of the company.
A. Sub Contracting
B. Multilevel Marketing
C. Corporations
D. None of the above
19. All are example of service providers except:
A. Accounting Firms
B. Airline Companies
C. Mall
D. Beauty Parlor
20. It is the company that converts raw materials into finished products.
A. Manufacturing
B. Franchising
C. Manufacturer
D. Merchandising

True or False.

1. Statement 1: A franchise Agreement contains details about franchisor’s finance,

history, contract obligations, investment cost, etc. Statement 2: A Franchise Disclosure
Document is a document that includes the rights, responsibilities, and obligations of the
franchisor and franchisee. S1 False ; S2 False
2. The members in the Cooperative should be active and should not participate directly.
FALSE
3. Corporations disadvantage examples are double taxation. True
4. Avon is one example of multilevel marketing. True
5. Merchandising is a type of business organization that deals with the hoarding of
products. False
6. Wholesalers does not sell goods to retailers. False
7. There are 30 types of cooperative. False
8. The duration of franchise agreement is ranging from 5 to 20 years. True
9. In consumer to business, the company provides good or services to the consumer.
False
10. A partnership has only two owners who owned the company. False
11. Statement 1: The person who owns the factory or is one of their executives. Statement
2: It is the person that converts raw materials into finished products. S1 True ; S2 False
12. The cause of conflict between partners are because of different management styles,
ideas and personalities. True
13. Service Providers offers unprofessional abilities and consultations.
FALSE
14. E-commerce are involve with the transactions of goods and services. True
15. Sub contracting often seen in construction companies. True
16. Corporation has few or limited source of capital. False