What would be an advantage of a business being registered as a sole trader?
It may have restrictions on the amount of money that it could borrow
The owner is responsible for all the decisions affecting the business
The personal assets of the owner could be sold in the event that the owner is unable to meet the financial obligations of the business
Funds used to operate the business are generally provided by the owner
How may a public company be best defined?
A business that is listed on the Australian Securities Exchange and has ownership open to all members of the public
A business that is owned and operated by government
A business that is open for ownership by a select group of people
A government business that is in the process of being sold to private investors
Jannon purchases shares in a public company listed on the Australian Securities Exchange. What is the name given to the income that Jannon would receive from this?
Profit
Yield
Return on Investment
Dividend
Stephanie is employed by Arnott’s to prepare and mix ingredients as part of the process of making biscuits. Which industry does Stephanie work in?
Primary
Secondary
Tertiary
Quaternary
Each year a public company must release a document to its shareholders outlining the financial performance of the business over the past year. What is this report known as?
Prospectus
Annual Report
Financial Accounts Summary
Shareholder Report
What is the process of organising and operating a government business enterprise on private sector principles known as?
Corporatisation
Privatisation
Nationalisation
Entrepreneurship
What is the name given to businesses that are registered as legal entities separate from their owners?
Sole Traders
Unincorporated Businesses
Incorporated Businesses
Private Companies
Paperlix is a medium-sized private company that specialises in the production of recycled paper. It is considering the possibility of becoming a public company. What would be an advantage of this?
The business would move from an unlimited liability to a limited liability company
It would be able to access external funds for future growth and expansion strategies
Existing shareholders would remain responsible for the long-term and day-to-day operations of the business
The business would move from an incorporated business entity to an unincorporated business entity
What would be a primary aim of a public sector business?
To provide essential services to the community that, for various reasons, the private sector does not supply
To achieve a profit on the services that it provides to the community
To compete with private sector businesses across a range of industries, including telecommunications and postal services
To employ Australians
Through which organisation are shares in public companies traded?
The Stock Exchange Association of Australia
The Australian Market of Exchange
The Australian Securities Exchange
The Australian Stock Market
