BUSINESS STRUCTURE

WORKSHEET CHAPTER 2
PAST PAPER QUESTIONS
1. Define the term ‘share capital’. [2]
2. Define the term ‘private sector[2]
3. Briefly explain two advantages to a sole trader of changing to a partnership. [3]
4. Briefly explain two advantages a public limited company has compared to a private
limited company. [3]
5. Briefly explain two advantages of joint ventures to the businesses involved. [3]
6. Briefly explain two benefits for an entrepreneur of becoming a franchisee. [3]
7. Outline two advantages that a partnership might have over a sole trader. [3]
8. Explain two possible disadvantages to a sole trader of changing to a private limited
company. [3]
9. Analyse the advantages of a co-operative as a legal form of business. [8]
10. Explain the strengths and weaknesses of a ‘co-operative’ legal structure for business. [8]
11. Explain the advantages for a franchisee of a ‘franchise’ as a form of business. [8]
12. Discuss why an entrepreneur might choose to become a franchisee rather than start an
independent restaurant business. [12]
13. Discuss how different stakeholder groups might view the decision to change from private
limited company to a public limited company. [12]
14. Briefly explain two distinctive characteristics of public sector enterprises (for example
public corporations or nationalised industries).[3]
15. Explain why some goods and services are provided by the public sector in your country.
[3]