Practice Flashcards: GCSE Business: Enterprise and Ownership | Zestly

Question 1

Sole trader

Accepted Answer

A business owned and run by one person. The common mistake is thinking the business is a separate legal entity from the owner.

Question 2

Partnership

Accepted Answer

A business owned by two or more people who share responsibility. The common mistake is assuming that partners always share profits and work equally.

Question 3

Private limited company

Accepted Answer

A business owned by shareholders that has its own legal identity. The common mistake is believing that shareholders are personally liable for the company's debts.

Question 4

Unlimited liability

Question 5

Limited liability

Question 6

Franchise

Question 7

Franchisee

Question 8

Aim

Question 9

Objective

Question 10

Fixed cost

Question 11

Variable cost

Question 12

Cash flow