PCBA - Types of Business - Quiz 1 - Holistic College Dublin

1. Question

What does a home visiting business involve?

The client visiting the therapist/practitioner’s home for treatment
The therapist/practitioner visiting the client’s home to carry out treatments
The therapist/practitioner operating a business from a dedicated room in their own home
A room set aside for treatments only in the client’s home

2. Question

What is a sole trader?

A business that can be set up without any legal formalities
A company where one person controls finance and decisions
A company whereby any business debts are limited to the amount put in
A business controlled by the owner and the employees

3. Question

Which of the following is the correct definition of a limited company?

A limited company is a business that can be set up without any legal formalities
A limited company is a company that establishes the business as a legal entity separate from a person as an individual
A limited company is a business that is formed without registering
A limited company is a company where one person controls finance and decisions

4. Question

What is disadvantage of being a sole trader?

You will be taxed as an individual
You will be able to make immediate decisions
There is no legal distinction between business and personal assets
The business will be easy to wind up

5. Question

When changing the type of business in a new premises the first thing you must do is apply to:

Other businesses in the area for a change of use
The local magistrates court for a change of use
The local police station for a change of use
The local council for a change of use

6. Question

Which of the following is considered a disadvantage when working from home?

Low cost
No travel
The therapist/practitioner can organise their own time
It is difficult to separate home from work

7. Question

Which of the following should NOT be taken into consideration when setting up a business?

Ease of access for clients
Size and suitability of the work place
Whether therapists/practitioners will be working full or part time
Length of time allocated for a lunch break

8. Question

What does a partnership involve?

Four individuals with only three sharing ownership
A maximum of two individuals sharing ownership
Two or more individuals sharing ownership
A minimum of six people sharing ownership

9. Question

Which type of business carries the greater financial risk?

An UnlimitedCompany with one owner
A Partnership operating from a salon that they rent
A Limited Company with more than one owner
A Sole Trader operating a home visiting business

10. Question

Which of the following definitions of a sole trader is correct?

A sole trader is a business where any business debts are limited to the amount put in
A sole trader is a business that can be set up without any legal formalities
A sole trader is a business which has only one owner
A sole trader is a business controlled by the owner and the employees

11. Question

Which of the following is a disadvantage of a home visiting practice?

Safety issues and insurance considerations
Contractual obligations
Competition from other therapists
It is difficult to respond to negative feedback if the client is in his/her own environment

12. Question

Which of the following is one of the risks of trading as an independent therapist?

Creditors can claim against you for bills you have not incurred
Your liability is unlimited
Your liability is limited
You are not responsible for decisions taken within the business

13. Question

Which of the following is NOT a requirement when forming a partnership?

You must show your name and address on your stationery
You must register your business
You must inform the tax office that you are self-employed
Your must check that any name you use for trading purposes is legally acceptable

14. Question

Which of the following is correct with regard to a limited company?

Accounts are always audited every two years if you have a very large turnover
Accounts may have to be audited at the end of each financial year if you have a low turnover
Accounts may have to be audited at the end of each financial year if you have a very large turnover
Accounts are normally audited every five years

15. Question

Which of the following is correct with regard to a sole trader?

As a sole trader there is no legal distinction between you and your business
As a sole trader there is a legal distinction between you and your business
As a sole trader you may still be required to share any profit that you make
As a sole trader you liability is limited

16. Question

Which of the following would be a disadvantage of a home visiting business?

Flexible working hours
Travel costs
No rent to pay
Treating clients in their own environment

17. Question

Which type of business carries the greater financial risk?

Partnership
Sole proprietor
Corporation
Home visiting

18. Question

Which of the following is a disadvantage of trading as an independent therapist?

You will be taxed as an individual
You will be able to make immediate decisions
It will be difficult to cease trading
There is no legal distinction between business and personal assets

19. Question

How many people are normally required when setting up a limited company?

One
Two or more
A maximum of two
A maximum of three

PCBA – Types of Business – Quiz 1