Question 1
A new business is set up by one person who keeps all the profits but is personally liable for all the debts of the business. Which type of business organisation is this?
Correct Answer:
Sole trader
Question 2
Which feature most clearly distinguishes a limited company from a sole trader?
Correct Answer:
A limited company is a separate legal entity from its owners
Question 3
In the UK, which document sets out the rules for the internal management and running of a limited company, such as directors' powers and how shares are issued?
Correct Answer:
The articles of association
Question 4
Corporate governance is best described as the system by which:
Correct Answer:
Companies are directed and controlled in the interests of stakeholders
Question 5
Which of the following is a key principle of good corporate governance?
Correct Answer:
Separating the roles of chair and chief executive
Question 1
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About this Exam

Prepare with the AAT Level 3 Business Awareness Practice Questions - AAT Level 3 Diploma in Accounting (Q2022) - Business Awareness (BUAW) Exam practice quiz. This question bank includes 100 questions covering business, accountant, risk, fundamental, and principle. Use it to review important concepts, identify knowledge gaps, and build confidence for the related exam, course, or assessment.

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AAT Level 3 Business Awareness Practice Questions - AAT Level 3 Diploma in Accounting (Q2022) - Business Awareness (BUAW) Exam

This practice set contains 100 questions from the matching question bank and focuses on business, accountant, risk, fundamental, and principle. Work through each question carefully, review the provided solutions, and revisit topics that need more study before your next attempt.

This is an independent study resource intended for practice and review; it is not an official examination or an endorsement by any organization named in the title.

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