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Which type of business organisation is …

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Which type of business organisation is suitable for C.A firm and beauty parlour and why?

Posted by Vasu Aggarwal 5 years, 3 months ago

CBSE > Class 11 > Business Studies

1 answers

Gaurav Seth 5 years, 3 months ago

Sole proprietorship will be more suitable for beauty parlour because:

It has easy formation and closure.
It needs limited resources.
He will be sole risk bearer which is not so high and profit recipient.
He will have 100% control.
personal services.

For chartered accountancy firm, partnership firm will be more suitable because it has:

Ease of formation and closure
Balanced decision making
More funds
Sharing of risks
Maintain secrecy

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