Presented below are five independent situations. In each case select which form of organisation the business is most likely to take: sole trader, partnership or company. In all scenarios, pick the less complicated business structure that fits the circumstances described.

Presented below are five independent situations. In each case select which form of organisation the business is most likely to take: sole trader, partnership or company. In all scenarios, pick the less complicated business structure that fits the circumstances described. Scenario Most suitable business structure Mary is an avid gardener with a passion for flowers. She is considering opening up a florist business in the local shopping mall. Sole trader + Three information system lecturers have formed a business to improve the speed of information transfer over the internet for stock exchange transactions. Each contributed an equal amount of cash and knowledge to the venture. Although their approach looks promising, they are concerned about the legal Company iabilities that their business might confront. Tommy has just commenced a home maintenance business by himself, with the help of $2000 inherited from a rich aunt. Sole trader + Robert Steven and Tom Cheng each owned separate shoe manufacturing businesses. They have decided to combine their businesses. They expect that Company + within the coming year they will need significant funds to expand their operations. As friends at university, Paul, Ingrid and Jasmine studied commerce. They are now setting up a small accounting business specialising in taxation returns Partnership + and investment advice