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HomeCIE IGCSE Business StudiesTypes of business organisation: sole traders and partnerships
CIE · IGCSE · Business Studies

Types of business organisation: sole traders and partnerships
Practice Questions

20 CIE IGCSE Business Studies questions on Types of business organisation: sole traders and partnerships, each with instant feedback and a full examiner-style mark scheme.

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Question 1 · 1 mark · Difficulty 1/3

Which of the following best describes a sole trader?

  1. A business that sells shares to the general public on a stock exchange
  2. A business owned by two or more people who share profits
  3. A business owned by shareholders with limited liability
  4. A business owned and run by one person who keeps all profits
Show answer & explanation
✓ Answer: DA business owned and run by one person who keeps all profits
A sole trader is a business owned and operated by a single individual who retains all profits but also bears all losses. Option B describes a partnership. Option C describes a public limited company. Option D describes a limited company structure, not a sole trader.
Question 2 · 1 mark · Difficulty 2/3

A partnership deed is best described as which of the following?

  1. A legal document setting out the rights and duties of each partner
  2. A financial statement showing the partnership's annual profit
  3. A government licence required to start a partnership
  4. A certificate proving the partnership has limited liability
Show answer & explanation
✓ Answer: AA legal document setting out the rights and duties of each partner
A partnership deed (also called a deed of partnership) is a legal agreement between partners that outlines profit-sharing ratios, roles, capital contributions, and procedures for resolving disputes. Option A is incorrect as no such government licence is required. Option C is incorrect as a partnership deed does not confer limited liability. Option D describes a financial account, not a partnership deed.
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CIE IGCSE Business Studies: Types of business organisation: sole traders and partnerships FAQ

How many CIE IGCSE Business Studies questions on Types of business organisation: sole traders and partnerships are there on Kramizo?
Kramizo currently has 20 exam-board-aligned practice questions on Types of business organisation: sole traders and partnerships for CIE IGCSE Business Studies, with new questions added every week. Each question gives you instant feedback and a full examiner-style mark scheme that tells you exactly what would earn marks on a real CIE paper. The questions span the full difficulty range — from straightforward recall (level 1) right up to multi-step reasoning and evaluation (level 3) — so the bank works for first-pass revision and final exam-week stress testing alike.
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Yes — completely free. Every student gets 45 questions a day on the free plan, with no card required and no trial countdown. That free quota works across every subject and every topic in our bank, so you can mix Types of business organisation: sole traders and partnerships practice with other Business Studies topics or even switch to a totally different CIE subject without paying anything. Kramizo's optional Pro plan removes the daily cap and adds detailed progress analytics, but the free tier is the real product — used by thousands of GCSE, IGCSE and CSEC students.
Are the Types of business organisation: sole traders and partnerships questions aligned to the official CIE IGCSE Business Studies syllabus?
Every question is written against the published CIE IGCSE Business Studies specification, including the exact command words (state, describe, explain, calculate, evaluate, etc.), mark allocations, and difficulty tier you'd see on a real CIE paper. Explanations are written in the style of official examiner mark schemes — they tell you what is being awarded marks and why distractors are wrong, not just whether you got it right. The bank is continually refined to match the latest syllabus updates from CIE.
How is Types of business organisation: sole traders and partnerships typically tested on CIE IGCSE Business Studies papers?
Types of business organisation: sole traders and partnerships appears across multiple question types on real CIE IGCSE Business Studies papers — most commonly as multiple-choice questions in the objective section, structured short-answer questions in the main paper, and occasionally as part of an extended response. Kramizo's practice bank reflects that mix: 4-option MCQs, true/false statements, fill-in-the-blank key terms, multi-select questions, and ordering questions. Working through the bank gives you exposure to every question style examiners actually use.

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