1. Write short notes on the advantages and disadvantages of limited company status.

2. Explain the following terms: sole trader partnership company

3. Two existing firms can join together in two different ways. One firm may make a takeover bid for the other, or a merger may occur. Contrast a takeover bid with a merger.

4. Explain the meaning of the terms fixed assets and current assets, illustrating your explanation with suitable examples.

5. Your company is about to spend 25,000 on a powerful database server that is expected to be in use for the next five years. Explain the different ways in which it will affect the company accounts over that period.