This quiz works best with JavaScript enabled. Home > Class 11 > Class 11 Business Studies Chapter 2 Forms Of Business Organisation – Quiz 10 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Class 11 Business Studies Chapter 2 Forms Of Business Organisation Quiz 10 (25 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. Identify the activity which does not support trade. A) Banking. B) Warehousing. C) Insurance. D) Mining. Show Answer Correct Answer: A) Banking. 2. Which statement is TRUE in respect of Partnership business A) Agreement between persons. B) Agree to share profits /losses. C) Carried on by all or any of them acting for all. D) All of the above. Show Answer Correct Answer: D) All of the above. 3. A ..... is one who allows the use of his/her name by a firm, but does not contribute to its capital. A) Active Partner. B) Dormant Partner. C) Secret Partner. D) Nominal Partner. Show Answer Correct Answer: D) Nominal Partner. 4. Business plays a significant role in economic development by generating employment opportunities. A) A. True. B) B. FALSE. C) All the above. D) None of the above. Show Answer Correct Answer: A) A. True. 5. Who elects the board of directors of a company? A) Suppliers. B) Stakeholders. C) Shareholders. D) Managing director. Show Answer Correct Answer: C) Shareholders. 6. The HUF business is controlled and manged by ..... A) Kartha or Karanavar. B) Any member nominated by the family. C) Committee of members. D) All members together. Show Answer Correct Answer: A) Kartha or Karanavar. 7. The simplest form of business ownership is a: A) Proprietorship. B) Partnership. C) Corporation. D) Cooperative. Show Answer Correct Answer: A) Proprietorship. 8. What type of business organization is characterized by a single owner? A) Sole Proprietorship. B) Joint Stock Company. C) Partnership. D) Cooperative Society. Show Answer Correct Answer: A) Sole Proprietorship. 9. The ..... department deals with customer enquiries. A) Sales. B) Production. C) All the above. D) None of the above. Show Answer Correct Answer: A) Sales. 10. The maximum number of members in a Private Ltd company is A) 100. B) 200. C) No limit. D) 50. Show Answer Correct Answer: B) 200. 11. The aim of such societies is to protect the members from the exploitation of lenders who charge high rates of interest on loans. A) Consumer's cooperative societies. B) Credit cooperative societies. C) Producers' cooperative societies. D) Farmers' cooperative societies. Show Answer Correct Answer: B) Credit cooperative societies. 12. Loan Intended to cover the time lag between the sanctioning and disbursement of a term loan A) Venture Capital. B) Seed Capital. C) Bridge Capital. D) Equity Capital. Show Answer Correct Answer: C) Bridge Capital. 13. Which of the following is NOT a feature of Private Company A) Restriction on transferability of shares. B) Probition on raising capital from public. C) Restricts the maximum number of membership. D) Uses the word "Limited '' after its name. Show Answer Correct Answer: D) Uses the word "Limited '' after its name. 14. A share is a percentage of the company. A) True. B) False. C) All the above. D) None of the above. Show Answer Correct Answer: A) True. 15. The profit distributed among the shareholders is known as: A) Incentives. B) Bonus. C) Interest. D) Dividend. Show Answer Correct Answer: D) Dividend. 16. What is a sole trader? A) A business owned by two or more people. B) A cooperative business. C) A business owned and run by one person. D) A business that sells shares to the public. Show Answer Correct Answer: C) A business owned and run by one person. 17. Every partner is ..... A) Both principal and agent of the firm. B) Only principal of the firm. C) Only agent of the firm. D) None of the above. Show Answer Correct Answer: A) Both principal and agent of the firm. 18. It is not possible to maintain secrecy and confidentiality under sole proprietorship A) The statement is true. B) The statement is false. C) Depends on the nature of the Business. D) Depends on the size of business. Show Answer Correct Answer: B) The statement is false. 19. Cost per unit remains the same at all levels of activity. A) Fixed Cost. B) Variable Cost. C) Total Cost. D) Break Even Point. Show Answer Correct Answer: B) Variable Cost. 20. In India, Co-operative Societies Act was enacted in the year ..... A) 1947. B) 1950. C) 1912. D) 1921. Show Answer Correct Answer: C) 1912. 21. "One person company can be formed by one person and that one person must be natural person" . state A) True. B) False. C) All the above. D) None of the above. Show Answer Correct Answer: A) True. 22. One disadvantage of a sole trader business is that A) Capital is limited to the owner's savings and bank loans. B) Decisions take too long to make. C) Owners may disagree. D) Owner retains profits. Show Answer Correct Answer: A) Capital is limited to the owner's savings and bank loans. 23. Company's management is overseen by A) Shareholders. B) Partners. C) Board of directors. D) None of the above. Show Answer Correct Answer: C) Board of directors. 24. Which of the following is an advantage of a partnership? A) Which of the following is an advantage of a partnership?. B) Partnerships can usually attract financial capital more easily than proprietorships. C) Management is hard between two or more people. D) They are inefficient. Show Answer Correct Answer: B) Partnerships can usually attract financial capital more easily than proprietorships. 25. Sole trader businesses are owned and managed by ..... A) 2-20 people. B) Multiple owners. C) 1 person. D) Partners. Show Answer Correct Answer: C) 1 person. ← PreviousNext →Related QuizzesClass 11 Business Studies Chapter 2 Forms Of Business Organisation Quiz 1Class 11 Business Studies Chapter 2 Forms Of Business Organisation Quiz 2Class 11 Business Studies Chapter 2 Forms Of Business Organisation Quiz 3Class 11 Business Studies Chapter 2 Forms Of Business Organisation Quiz 4Class 11 Business Studies Chapter 2 Forms Of Business Organisation Quiz 5Class 11 Business Studies Chapter 2 Forms Of Business Organisation Quiz 6Class 11 Business Studies Chapter 2 Forms Of Business Organisation Quiz 7Class 11 Business Studies Chapter 2 Forms Of Business Organisation Quiz 8Class 11 Business Studies Chapter 2 Forms Of Business Organisation Quiz 9Class 11 Business Studies Chapter 2 Forms Of Business Organisation Quiz 11 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books