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Question

The choice of an appropriate form of business organisation largely depends upon:
I. Ease of formation
II. Continuity and stability
III. Liability aspects

A
I and II
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B
II and III
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C
I and III
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D
I, II and III
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Solution

The correct option is C I, II and III
Whenever a business organisation is formed it always focuses on the following points :
  1. Ease of formation.
  2. Continuity and stability.
  3. Liability aspects.
If these points are found in the business organization a busness can be efficiently managed.

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