Flashcards
BUSMAN UNIT 3 (A01)
Cards in this deck (8)
- 1Sole Trader* individual operating
* sole person legally responsible
+ simple, cost-effective, gives owner all decision making power
- unlimited liability - 2Partnership* 2 to 20 ppl
* governed by Partnership Act of 1958
*requires separate TFN
+ simple, cheap, shared ideas and workload
- unlimited liability
- conflict - 3Private Limited* incorporated (separate legal identity)
* divided into shares
* not listed on ASX
+ limited liability
+ no money lost if stock falls
- complex and expensive
eg. VISY, Linfox - 4Public Listed* shareholders who own the company
* listed on the ASX
+ limited liability
+ money increases with stock and trading of shares
- complex and expensive
- risk of money lost if stock falls
eg. Qantas - 5Social Enterprise* revenue generating, primary social object
* all surpluses reinvested for profit
+ trading to fulfil a social object
+ avoids dependence on funding
+ socially beneficial
- high risk
- difficult to make profit
eg. Thankyou - 6Government Enterprise* Commonwealth entity that aims to make profit
* all profits returned to State for reinvestment into budgets
eg. NBN, AusPost, VicRoads - 7To Make Profitsurplus remaining after costs are deducted from revenue
- the basis on which tax is calculated/dividends paid - 8Increase Market Sharepercentage of industry's sales that the business receives
Information
- Description
- Year 12 Economics and Business Flashcards on BUSMAN UNIT 3 (A01), created by Annie Zhang on 05/03/2017.
- Created by
- Annie Zhang
- Views
- 29
- Tags
- Rating