The Most Effective Form of Business Organisation for Raising Capital

question 110

Multiple Choice

The most effective form of business organisation for raising capital is the

• A) joint venture.
• B) syndicate.
• C) sole trader.
• D) partnership.
• E) corporation.

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Definitions:

Profit Making

The activity of earning more money than what is spent on producing or buying goods or services, resulting in financial gain.

Industrial Revolution

A period of major industrialization that took place during the late 1700s and early 1800s, leading to significant changes in agriculture, manufacturing, mining, transportation, and technology, which had a profound effect on the socioeconomic and cultural conditions of the times.

Private Enterprise System

A system where private individuals or groups own and operate businesses with minimal government intervention, emphasizing profit and free market principles.

Invisible Hand

A term introduced by Adam Smith to describe the self-regulating nature of the marketplace that guides individuals to unintentionally benefit society through their personal gain.