Business Studies June exam P2 (Hard)
167 Questions
0 Views

Choose a study mode

Play Quiz
Study Flashcards
Spaced Repetition
Chat to lesson

Podcast

Play an AI-generated podcast conversation about this lesson

Questions and Answers

What term describes disparities in opportunities and treatment based on social status?

  • Inclusivity
  • Economic Participation
  • Inequality (correct)
  • Poverty

    • How does cyclical poverty perpetuate itself across generations?

  • Through providing equal opportunities
  • Through inclusive business practices
  • Through increased consumer markets
  • Through access to quality education and employment (correct)

    • What impact does poverty have on the consumer markets?

  • It leads to inclusive opportunities
  • It expands consumer markets
  • It diminishes consumer markets (correct)
  • It fosters cyclical poverty

    • Why do poverty and inequality often lead to increased crime rates?

    <p>Necessitating higher spending on security measures</p> Signup and view all the answers

    What is the main aim of inclusivity within a business context?

    <p>To foster a skilled workforce</p> Signup and view all the answers

    Which term is used to define the deprivation of essential needs and services such as adequate housing and healthcare?

    <p>Poverty</p> Signup and view all the answers

    In a Jointly and Severally scenario, what does it mean when it is stated that each owner is individually and collectively responsible for the entire debt of the business?

    <p>Each owner is liable for the entire debt individually and collectively.</p> Signup and view all the answers

    In a Sole Proprietorship, what is the continuity of the business dependent on?

    <p>The participation of the owner</p> Signup and view all the answers

    What is a distinguishing factor between a Partnership and a Close Corporation in terms of management?

    <p>Partnerships are managed solely by partners, while Close Corporations are managed by appointed managers.</p> Signup and view all the answers

    What is a significant difference regarding the formation process between a Private Company (Pty Ltd) and a Public Company (Ltd)?

    <p>Private Companies need to issue a prospectus, while Public Companies do not have to follow this step.</p> Signup and view all the answers

    In a Co-operative, what is the role of the board of directors in the management of the business?

    <p>The board of directors is elected by members and governs the business.</p> Signup and view all the answers

    What aspect of ownership in a Partnership and a Close Corporation significantly differs in terms of continuity?

    <p>In a Partnership, continuity is limited by the number of partners, whereas in a Close Corporation it exists independently of members' status.</p> Signup and view all the answers

    What type of risk-takers are entrepreneurs according to the text?

    <p>Calculated risk-takers</p> Signup and view all the answers

    Why is flexibility and adaptability crucial for entrepreneurs?

    <p>To adjust to market demands</p> Signup and view all the answers

    What quality ensures entrepreneurs are accountable for business outcomes?

    <p>Desire for responsibility</p> Signup and view all the answers

    How are corporations and close corporations different from sole proprietorships regarding 'Legal Personality'?

    <p>Corporations have separate legal identities</p> Signup and view all the answers

    What legal term describes a business's ability to continue operations despite the exit of any owners?

    <p>Continuity</p> Signup and view all the answers

    Which type of liability makes owners personally responsible for all business debts?

    <p>Unlimited Liability</p> Signup and view all the answers

    How are corporations and close corporations different from partnerships regarding 'Liability'?

    <p>CCs have unlimited liability</p> Signup and view all the answers

    In what way are sole proprietors and partnerships different concerning the amount of tax paid?

    <p>Partnerships are taxed based on personal income rates</p> Signup and view all the answers

    What is the key factor in determining the tax paid by corporations?

    <p>Corporate tax rates on profits</p> Signup and view all the answers

    What is involved in the 'Formation Procedure' of a business?

    <p>Legal steps to officially establish operations</p> Signup and view all the answers

    What can lead to increased spending power and demand for products and services in a thriving community?

    <p>Rising standard of living</p> Signup and view all the answers

    Which stakeholder plays a crucial role in advocating for employee benefits and fair labor practices?

    <p>Trade Unions</p> Signup and view all the answers

    What can enhancing a company's reputation, customer loyalty, and increased profits result from?

    <p>Investing in community well-being</p> Signup and view all the answers

    What can help in directly reducing poverty and improving community well-being?

    <p>Economic Investment programs</p> Signup and view all the answers

    What helps employees advance their careers and contribute to a more skilled workforce?

    <p>Employee Training</p> Signup and view all the answers

    What is one crucial role of entrepreneurs?

    <p>Create employment opportunities</p> Signup and view all the answers

    What is a prominent quality of entrepreneurs related to spotting business opportunities?

    <p>Creativity</p> Signup and view all the answers

    What part of an entrepreneur's role often requires the ability to secure financing and manage it wisely?

    <p>Taking calculated risks</p> Signup and view all the answers

    What trait of successful entrepreneurs allows them to persistently pursue their business goals?

    <p>Perseverance</p> Signup and view all the answers

    What encapsulates traits that are critical to entrepreneurial success?

    <p>Each group of qualities</p> Signup and view all the answers

    What does Employment Equity encourage businesses to reflect in their workforce?

    <p>Demographic makeup of society</p> Signup and view all the answers

    Why does unemployment lead to increasing dependence on social welfare systems?

    <p>Reduced living standards</p> Signup and view all the answers

    What type of products are typically associated with bootlegging?

    <p>Alcoholic drinks and recording media</p> Signup and view all the answers

    How is consumer protection related to laws against piracy and counterfeiting?

    <p>It maintains market integrity</p> Signup and view all the answers

    What is a common consequence of illegal gambling activities?

    <p>Funding organized crime</p> Signup and view all the answers

    How does money laundering undermine economic stability?

    <p>By obscuring the origins of illicitly obtained money</p> Signup and view all the answers

    What is the impact of workplace violence on businesses' profitability?

    <p>Reduced profitability</p> Signup and view all the answers

    How do strikes and lock-outs impact a company?

    <p>Significantly disrupt production</p> Signup and view all the answers

    What does social responsibility encompass for a business?

    <p>Broader societal well-being</p> Signup and view all the answers

    Why does Corporate Social Responsibility (CSR) focus on stakeholders' quality of life?

    <p>To contribute positively to well-being</p> Signup and view all the answers

    What factor contributes to the perpetuation of poverty across generations?

    <p>Quality education and employment opportunities</p> Signup and view all the answers

    How does poverty impact businesses' operational costs?

    <p>Increasing spending on security measures</p> Signup and view all the answers

    What does inclusivity aim to achieve in a business context?

    <p>Reduce inequality in the workforce</p> Signup and view all the answers

    How does poverty restrict economic participation?

    <p>By diminishing consumer markets</p> Signup and view all the answers

    What is the primary aim of embracing diversity in inclusivity?

    <p>Harness a wide range of skills and perspectives</p> Signup and view all the answers

    How do poverty and inequality contribute to the cycle of increased crime rates?

    <p>By necessitating higher security measures</p> Signup and view all the answers

    In which form of ownership structure does the continuity of the business solely rely on the owner's participation?

    <p>Partnership</p> Signup and view all the answers

    Among the listed ownership structures, which one has a legal personality that offers limited liability to its members?

    <p>Close Corporation (CC)</p> Signup and view all the answers

    What form of ownership requires a reserved business name and registering a founding statement during its formation process?

    <p>Close Corporation (CC)</p> Signup and view all the answers

    Among the ownership structures, which one mandates that management be conducted by directors, requiring at least one director?

    <p>Private Company (Pty Ltd)</p> Signup and view all the answers

    Which type of ownership structure involves a governance system governed by a board of directors elected by its members?

    <p>Co-operative</p> Signup and view all the answers

    What is a distinguishing feature of a Public Company (Ltd) regarding management in comparison to other ownership structures?

    <p>Managed by appointed managers</p> Signup and view all the answers

    What contributes to the economic strain caused by unemployment?

    <p>Escalated social issues like crime and poverty</p> Signup and view all the answers

    What is a potential consequence of workplace violence on businesses?

    <p>Disruption of daily operations</p> Signup and view all the answers

    What undermines legal business operations and economic stability through obscurity of money origins?

    <p>Money laundering</p> Signup and view all the answers

    Which activity often funds organized crime and detracts from the regulated economy?

    <p>Illegal gambling</p> Signup and view all the answers

    What is advocated to protect consumers from fake and low-quality products?

    <p>Counterfeiting laws</p> Signup and view all the answers

    What is discouraged due to intellectual property theft and potential revenue loss?

    <p>Investment in new product development</p> Signup and view all the answers

    What scenario consists of unauthorized use or reproduction of another's work infringing on rights?

    <p>Piracy of intellectual property</p> Signup and view all the answers

    What can significant disruptions from employee grievances affect?

    <p>Business reputation</p> Signup and view all the answers

    What reflects a business's commitment to engage in activities promoting societal wellbeing?

    <p>Corporate Social Responsibility (CSR)</p> Signup and view all the answers

    Which condition can lead to increased dependence on social welfare systems?

    <p>Unemployment</p> Signup and view all the answers

    What differentiates entrepreneurs from others when it comes to identifying and seizing business opportunities?

    <p>They have a keen eye for spotting business opportunities in everyday situations</p> Signup and view all the answers

    Which quality is paramount for entrepreneurs in terms of their commitment to their vision and business?

    <p>High degree of commitment</p> Signup and view all the answers

    What is the ultimate goal of entrepreneurs when they are proactive in spotting business opportunities?

    <p>Increasing profitability</p> Signup and view all the answers

    Which characteristic defines entrepreneurs in terms of their vision and continuous effort to create valuable products or services?

    <p>Dedication and continuous effort</p> Signup and view all the answers

    What quality allows entrepreneurs to stay ahead of competitors and enhance profitability?

    <p>Opportunity-seeking</p> Signup and view all the answers

    What do entrepreneurs effectively organize to generate profit and achieve business success?

    <p>Various resources</p> Signup and view all the answers

    What risk-taking characteristic defines entrepreneurs?

    <p>Calculated risks</p> Signup and view all the answers

    How do entrepreneurs contribute to economic growth?

    <p>By creating employment opportunities</p> Signup and view all the answers

    What critical role do entrepreneurs play in the market as competitors?

    <p>Inspiring innovative practices</p> Signup and view all the answers

    Which form of business ownership allows owners to have a legal identity separate from the business, enabling them to enter into contracts independently?

    <p>Close Corporation</p> Signup and view all the answers

    In terms of liability, which form of ownership makes owners personally liable for all business debts and puts their personal assets at risk?

    <p>Sole Proprietorship</p> Signup and view all the answers

    Which feature explains a business's capacity to continue operations regardless of the exit of any owners, such as due to death or retirement?

    <p>Continuity</p> Signup and view all the answers

    In terms of taxes, which business structure allows for owners to be taxed based on personal income rates, reaching as high as 40%?

    <p>Sole Proprietorship</p> Signup and view all the answers

    Among corporations, what stands out as a key advantage allowing owners to be responsible only for the amount they have invested in the business?

    <p>Limited Liability</p> Signup and view all the answers

    In terms of ownership, which structure emphasizes the business owner’s desire for responsibility and accountability for their business outcomes?

    <p>Sole Proprietorship</p> Signup and view all the answers

    Which term describes the legal steps required for a business to officially form and commence operations?

    <p>Formation Procedure</p> Signup and view all the answers

    Which ownership form has the advantage of the ability to enter contracts, sue, or be sued independently from its owners?

    <p>Close Corporation</p> Signup and view all the answers

    Regarding legal identity, which forms of ownership are distinguished by having a legal personality independent of their owners?

    <p>Close Corporation and Corporation</p> Signup and view all the answers

    Which ownership structure requires owners to be accountable for business decisions and operations, ensuring personal involvement in outcomes?

    <p>Sole Proprietorship</p> Signup and view all the answers

    What aspect does cyclical poverty perpetuate across generations?

    <p>Vulnerability</p> Signup and view all the answers

    How does poverty impact consumer markets?

    <p>Diminishing consumer markets</p> Signup and view all the answers

    What effect does poverty and inequality have on security costs for businesses?

    <p>Increase in security expenditure</p> Signup and view all the answers

    What is the primary aim of inclusivity in a business context?

    <p>Increasing diversity</p> Signup and view all the answers

    Which factor ensures the perpetuation of poverty across generations?

    <p>Lack of resources</p> Signup and view all the answers

    What does poverty restrict for individuals in terms of the economy?

    <p>Participation in the economy</p> Signup and view all the answers

    Which form of ownership involves a more complex registration process that includes a memorandum of incorporation during its formation?

    <p>Private Company (Pty Ltd)</p> Signup and view all the answers

    In which ownership structure is continuity independent of the status of the members?

    <p>Co-operative</p> Signup and view all the answers

    Which ownership form offers limited liability to shareholders and requires at least one director for management?

    <p>Private Company (Pty Ltd)</p> Signup and view all the answers

    Among the listed forms of ownership, which one is managed by directors and must have a minimum of three for proper management?

    <p>Public Company (Ltd)</p> Signup and view all the answers

    Which ownership structure has unlimited joint and several liabilities and has continuity depending on the partnership agreement?

    <p>Partnership</p> Signup and view all the answers

    In which form of ownership is the legal personality of the owners independent of the owners themselves and involves reserving a business name during formation?

    <p>Close Corporation (CC)</p> Signup and view all the answers

    What impact does illegal gambling have on the regulated economy?

    <p>Detracts from the regulated economy</p> Signup and view all the answers

    Which aspect of gambling often contributes to social issues and detracts from the regulated economy?

    <p>Illegal gambling activities</p> Signup and view all the answers

    How does pyramid schemes primarily benefit participants?

    <p>By offering guaranteed high returns</p> Signup and view all the answers

    In what way does workplace violence impact businesses?

    <p>Results in significant financial losses</p> Signup and view all the answers

    How does money laundering impact economic stability?

    <p>Undermines economic stability</p> Signup and view all the answers

    What is the main feature that distinguishes piracy, counterfeiting, and bootlegging?

    <p>Their infringement on intellectual property rights</p> Signup and view all the answers

    What is the primary purpose of counterfeiting?

    <p>To deceive consumers by passing off as genuine</p> Signup and view all the answers

    How do strikes impact the financial standing of a company?

    <p>Negatively affect production and financial standing</p> Signup and view all the answers

    What is the key characteristic of bootlegging in terms of products involved?

    <p>Alcoholic drinks or recording media</p> Signup and view all the answers

    How does unemployment lead to an increase in dependence on social welfare systems?

    <p>By causing financial strain and reduced income</p> Signup and view all the answers

    Entrepreneurs often possess profound confidence and firm belief in their potential to achieve business objectives. This quality is an indication of their _____________.

    <p>Self-assuredness in capabilities</p> Signup and view all the answers

    What best describes the significance of adaptability for entrepreneurs according to the text?

    <p>Adaptability aligns strategies with market demands</p> Signup and view all the answers

    In terms of tax obligations, which structure is taxed based on personal income rates, potentially reaching as high as 40%?

    <p>Sole Proprietorships</p> Signup and view all the answers

    Entrepreneurs often leverage the energy and passion they bring to work to drive their businesses forward. This passion is fueled by financial aims, recognition, and _________.

    <p>A genuine passion for their business</p> Signup and view all the answers

    What term describes the responsibility that entrepreneurs embrace when running a business?

    <p>Desire for accountability</p> Signup and view all the answers

    Which type of liability shields owners from personal liability for business debts beyond their investment?

    <p>Limited Liability</p> Signup and view all the answers

    What quality is crucial for overcoming obstacles on the entrepreneurial path and ensuring business success?

    <p>Willpower</p> Signup and view all the answers

    Effective leadership and management are critical for entrepreneurs. If entrepreneurs lack these skills themselves, what do they recognize as essential for business success?

    <p>Hiring competent managers</p> Signup and view all the answers

    What quality do entrepreneurs exhibit that helps them align strategies with market demands and make informed decisions?

    <p>Adaptability</p> Signup and view all the answers

    Entrepreneurs who dream big and set actionable visions for their business typically demonstrate what characteristic?

    <p>Clarity</p> Signup and view all the answers

    What distinguishes an entrepreneur in terms of their ability to identify and seize business opportunities?

    <p>Their keen eye for spotting business opportunities in everyday situations.</p> Signup and view all the answers

    How do entrepreneurs contribute to economic growth?

    <p>By creating employment opportunities, driving innovation, and improving market efficiency.</p> Signup and view all the answers

    What characterizes entrepreneurs in their approach to business vision and dedication?

    <p>Strong commitment and continuous effort in creating valuable and sustainable ventures.</p> Signup and view all the answers

    What is a key role that entrepreneurs undertake regarding economic resources in their business ventures?

    <p>Effectively organizing various resources to generate profit.</p> Signup and view all the answers

    What quality is crucial for entrepreneurs in persisting through challenges and pursuing business goals?

    <p>Perseverance to overcome hurdles and relentlessly pursue business objectives.</p> Signup and view all the answers

    Which of the following is a critical trait associated with entrepreneurial success?

    <p>Achievement-oriented qualities such as opportunity-seeking and perseverance.</p> Signup and view all the answers

    What principle guides entrepreneurs in assuming calculated risks to achieve business success?

    <p>Calculated risk-taking to drive innovation and growth.</p> Signup and view all the answers

    How do entrepreneurs contribute to market efficiency in their business endeavors?

    <p>By fostering competition, innovation, and economic productivity.</p> Signup and view all the answers

    What differentiates entrepreneurs in their approach to business sustainability and profitability?

    <p>Focus on achieving both economic viability and sustainable growth.</p> Signup and view all the answers

    In what way do entrepreneurs contribute to employment opportunities and innovation in the business landscape?

    <p>By creating jobs, fostering innovation, and driving economic progress.</p> Signup and view all the answers

    How does cyclical poverty perpetuate across generations?

    <p>By restricting access to education and employment opportunities</p> Signup and view all the answers

    What impact does inclusivity aim to achieve in the workforce?

    <p>Promote a more skilled and equitable workforce</p> Signup and view all the answers

    How does poverty affect businesses' operational costs?

    <p>By increasing spending on security measures</p> Signup and view all the answers

    What defines inclusivity in a business context?

    <p>Ensuring equal opportunities for all</p> Signup and view all the answers

    How does economic participation relate to poverty?

    <p>It diminishes participation in the economy</p> Signup and view all the answers

    What is the primary impact of security costs on businesses due to poverty and inequality?

    <p>Leads to higher spending on security measures</p> Signup and view all the answers

    In a Private Company (Pty Ltd), what is the management structure like?

    <p>Managed by directors; requires at least one</p> Signup and view all the answers

    What distinguishes a Co-operative from other forms of ownership regarding management?

    <p>Governed by a board of directors elected by members</p> Signup and view all the answers

    When it comes to legal liability in a Partnership, what does the term 'joint and several liabilities' imply?

    <p>Partners are individually and collectively responsible for the entire debt of the business</p> Signup and view all the answers

    What characteristic is unique to a Close Corporation (CC) regarding continuity?

    <p>Exists independently of the members’ status</p> Signup and view all the answers

    Which factor makes a Public Company (Ltd) distinct when compared to Private Companies (Pty Ltd)?

    <p>Involves heavily regulated management and a minimum of three directors</p> Signup and view all the answers

    Regarding the formation process, what sets a Partnership apart from a Sole Proprietorship?

    <p>Involves registering a founding statement</p> Signup and view all the answers

    What is the potential impact of illegal gambling on the economy, according to the text?

    <p>Detracts from the regulated economy and contributes to social issues</p> Signup and view all the answers

    What aspect distinguishes entrepreneurs in their ability to identify lucrative business opportunities?

    <p>Understanding of market trends and consumer behavior</p> Signup and view all the answers

    How do entrepreneurs typically enhance market efficiency through their business ventures?

    <p>By driving innovation and improving competition</p> Signup and view all the answers

    How does workplace violence affect businesses, based on the information provided?

    <p>Disrupts daily operations and increases costs</p> Signup and view all the answers

    What crucial quality ensures the success of entrepreneurs when overcoming obstacles and persistently pursuing their business goals?

    <p>Persistent perseverance and commitment</p> Signup and view all the answers

    Which form of illegal activity obscures the origins of illicitly obtained money, as highlighted in the text?

    <p>Money laundering</p> Signup and view all the answers

    Why do businesses invest in community development according to the text?

    <p>To enhance market opportunities and prosperity</p> Signup and view all the answers

    What is the primary characteristic of bootlegging, as mentioned in the text?

    <p>Selling illegal alcoholic beverages or recording media</p> Signup and view all the answers

    Which stakeholder plays a crucial role in advocating for fair labor practices according to the text?

    <p>Trade Unions</p> Signup and view all the answers

    How is procrastination beneficial to entrepreneurship, based on the information provided?

    <p>Delays progress and hampers success</p> Signup and view all the answers

    In what way does social responsibility benefit businesses, according to the passage?

    <p>Boosts overall profitability and enhances reputation</p> Signup and view all the answers

    What primary value does a clear HIV/AIDS policy bring to the workplace according to the text?

    <p>Managing the workplace implications of the disease effectively</p> Signup and view all the answers

    How do entrepreneurs contribute to economic growth according to the text?

    <p>By creating employment opportunities and driving innovation</p> Signup and view all the answers

    What is the main consequence of unemployment on individuals, based on the provided information?

    <p>Reduces living standards and increases economic strain</p> Signup and view all the answers

    How does intellectual property theft affect innovation within businesses?

    <p>Discourages investment in innovation due to revenue concerns</p> Signup and view all the answers

    What do entrepreneurial qualities like opportunity-seeking and commitment contribute to in the business context?

    <p>Generating profit and sustainable business ventures</p> Signup and view all the answers

    Why is community well-being investment essential for businesses according to the text?

    <p>To enhance the reputation and customer loyalty</p> Signup and view all the answers

    What role do pyramid schemes play in deceptive investment practices, according to the content?

    <p>Primarily benefit those at the top at the expense of newer recruits</p> Signup and view all the answers

    How does a company's commitment to Corporate Social Responsibility (CSR) benefit stakeholders, as indicated in the text?

    <p>Improves the quality of life for employees, shareholders, and the wider community</p> Signup and view all the answers

    What vital role do trade unions play in the context of addressing employee benefits according to the text?

    <p>Advocating for employee benefits and fair labor practices</p> Signup and view all the answers

    Why is a balanced approach to risk-taking essential for entrepreneurs according to the text?

    <p>To capitalize on business opportunities effectively</p> Signup and view all the answers

    What is the primary advantage of possessing high energy levels and passion for entrepreneurs?

    <p>To drive their businesses forward with motivation</p> Signup and view all the answers

    Why do entrepreneurs with exceptional organizational skills synergize land, labor, and capital efficiently?

    <p>To create and deliver value effectively</p> Signup and view all the answers

    Why is leadership and management considered critical for entrepreneurs?

    <p>To consistently ensure business success</p> Signup and view all the answers

    Why is it important that entrepreneurs have the willpower to overcome obstacles?

    <p>To establish and sustain a successful business</p> Signup and view all the answers

    Why do corporations pay a corporate tax rate on profits instead of a personal income rate?

    <p>To avoid disclosing financial information publicly</p> Signup and view all the answers

    How do entrepreneurs contribute to employment and societal advancements?

    <p>By driving change, creating employment, and pushing technological advancements</p> Signup and view all the answers

    What does the legal personality of a company allow it to do independently of its owners?

    <p>Enter contracts and sue others</p> Signup and view all the answers

    Why do entrepreneurs continuously adjust their strategies and decisions according to market demands?

    <p>To align their operations with the ever-changing market landscape</p> Signup and view all the answers

    What separates companies with limited liability from those with unlimited liability?

    <p>The legal implications on the owners' personal assets</p> Signup and view all the answers

    More Like This

    Use Quizgecko on...
    Browser
    Open
    Browser
    Browser