QUIZ 2: IDENTIFICATION

Instruction: Identify the type of business organization described by the statements provided below.

1. This business is owned by only one individual. ________________________________________

2. This business is owned by two or more individuals who agree to contribute resources and carry
out a business and divide among themselves the profits or losses therefrom. ______________

3. This type of business offers services, such as, professional skills, expertise, advice, lending, and
similar services, as its main product, rather than physical goods. _______________________

4. This business engages in the “buying” and “selling” of goods. Its earnings are primarily
derived from the markup it adds to the cost of the goods it sells to the customers.
____________________________________

5. This business is owned by at least five members who are called stockholders or shareholders.
________________________________________

6. This business engages in buying raw materials and processing them into final
products.______________________________________

7. This organization is owned by at least 15 individuals who are called members. The
distinguishing characteristic of this organization is that its members need to patronize its
products. __________________________

8. In this type of business organization, you are the only boss, and hence, you keep all the profits
but assume all the risk of loss. _____________________________________
9. In this type of business organization, you may be an owner but not the boss. Indeed, your “say”
in the business may be insignificant if you have insignificant shareholdings. _________________

10. In this type of business organization, you are automatically one of the bosses, but not the only
one. This type of business organization is relatively easier to form as compared to the other
business organizations that are owned by more than one individual. ____________________

“The heart of the discerning acquires knowledge, for the ears of the wise seek it out.” (Proverbs 18:15)
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