Principles of Business – End of Summer Quiz

Name: ____________________________________
Date: _______________________________
Form 4 _________
Circle the letter next to the correct answer.

1. Two people who want what each other has 8. All of the following are features of the public
to offer is called sector EXCEPT:
(A) Barter (B) Double coincidence of (A) Provision of goods/services
wants (B) No competition (C) Provide merit goods
(C) Portability (D) Acceptability (D) Cater for a niche market

2. Which function of money borrowers are able 9. All are reasons why a sole trader would
to borrow money and pay it back at a later convert to a partnership EXCEPT:
date? (A) Business affairs are kept private
(A) Standard of deferred payments (B) Family members can join
(B) Store of value (C) Unit of account (C) Limitation to number of partners
(D) Medium of exchange (D) Risks are spread

3. Any transfer of funds/payment that is made 10. Who benefits from ‘limited liability’?
electronically is (A) Shareholder (B) Directors
(A) E-commerce (B) Telemarketing (C) Cooperative (D) Partnership
(C) Telebanking (D) Electronic transfer
11. Which job title is responsible for making
4. Which of the following enables one to big long term plans in an organization?
withdraw cash at an ATM? (A) HR personnel (B) Entrepreneur
(A) Debit card (B) Credit card (C) Strategic planner (D) Information officer
(C) Cheque (D) Cash
12. All of the following are ethical practices
5. All of the following are paper based EXCEPT
payment instruments EXCEPT: (A) Withholding of tax
(A) Cheque (B) M-money (B) Policies on environmental issues
(C) Cash (D) Bill of exchange (C) Handling of personal information
(D) Code of ethics
6. Public corporations are government owned
and are in the public sector while public 13. The PRIMARY role of the personnel
companies are in the private sector and are department of a firm is to
owned by private shareholders. (A) compile a magazine highlighting
(A) True (B) False outstanding workers
(B) promote recreational activities for workers
7. Movement from the public sector to the (C) assist employees in understanding
private sector is called industrial relations
(A) Privatization (B) Nationalization (D) hire, recruit, train and motivate workers
(C) Public company (D) Private sector
14. In a public limited company, the losses are
borne by the
(A) staff (B) directors
(C) community (D) shareholders
15. An entrepreneur who wants to maintain
control of the business would be advised to
register the business as a
(A) Partnership (B) Sole trader (C) Limited
company (D) Private Limited company
16. Which of the following exemplifies barter
economy?
(A) goods and services are exchanged for
money payments
(B) goods are not traded because there is no
double coincidence of wants
(C) goods and services are exchanged for other
goods
(D) a commodity such as cowrie shells serves
as a means of payment
17. Which of the following is part of the public
sector of the economy?
(A) A public corporation (B) A public
company (C) a cooperative (D) a
franchise
18. Which of the following functions of
business is responsible for the motivation and
employment of people in the workplace?
(A) Production management
(B) Research and development (C) HRM
(D) Marketing
19. The term ‘stakeholder’ refers to someone
who:
(A) reads about business activity and takes an
interest in business
(B) has a personal interest in the decisions
made by an organization
(C) is thinking about setting up a business of
their own
(D) wants to find out more about how
businesses are formed
20. Who are the owners of a public company?
(A) the individuals who originally set up the
company
(B) the board of directors of the company
(C) the shareholders of the company
(D) the family who own the company
21. The role of a compliance officer mainly
includes:
(A) making sure that a company meets legal
standards and requirements
(B) looking after the welfare of the employees
of a company
(C) ensuring that information technology staff
are trained in new applications
(D) providing information about an
organization and its activities
22. Making payment by means of a cellphone is
referred to as payment by:
(A) m-money (B) barter
(C) bill of exchange
(D) telephonic money order
23. The process of transferring a business from
the private sector to the public sector is
referred to as:
(A) privatization (B) public sectorization
(C) nationalization (D) sale to the public
24. Where a bank account is set up to siphon
off the proceeds from criminal activity this is
described as
(A) money laundering
(B) electronic funds transfer
(C) a bank draft
(D) ethical behaviour
25. Which of the following types of business
does not have limited liability?
(A) a public company (B) a private
company (C) a limited partnership (D) a sole
trader