O-LevelCommerceBusiness enterpriseOct/Nov 2015Paper 1 Q351 Mark
What is the meaning of the term limited liability?
AShares are issued to a set total value.
BShareholders are paid back a percentage of their investment from company profits.
CShareholders are responsible for debts up to the total of their capital invested.
DShareholders can buy a limited amount of share capital.
✓ Correct Answer
The correct answer is C. This question tests the candidate's understanding of business enterprise within the Commercesyllabus. The examiner's mark scheme requires...
📋 Examiner Report & Trap Analysis
Common mistake: 62% of candidates selected the distractor because they confused... The examiner specifically designed this question to test whether students can differentiate between... To secure full marks, candidates must demonstrate...
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