Finance Unit 2 Questions and All
Correct Answers 2026 Updated.
Business - Answer An organization or economic system where goods & services are
exchanged for money.
Private sector - Answer the part of the economy that involves the transactions of individuals
and businesses
Public sector - Answer the part of the economy that is controlled by the government
Not for profit sector - Answer A business dedicated to furthering a particular social cause or
advocation for a shared point of view
Sole trader - Answer A business in which one person provides the permanent finance and, in
return, has full control of the business and is able to keep all of the profits
Partnership - Answer a business organization owned by two or more persons who agree on a
specific division of responsibilities and profits
Private limited company - Answer A business owned by shareholders with limited liability
but whose shares cannot be bought by or sold to the general public.
Public limited company - Answer A limited company whose shared are freely sold and traded
cooperative - Answer a business organization owned and operated by a group of individuals
for their mutual benefit
limited liability - Answer A form of business ownership in which the owners are liable only
up to the amount of their individual investments.
unlimited liability - Answer The owner is personally and fully responsible for all losses and
debts of the business
Primary sector - Answer The portion of the economy concerned with the direct extraction of
materials from Earth's surface, generally through agriculture, although sometimes by mining,
fishing, and forestry.