PT#23

Question: 15 of 20 What are the key components of the marketing plan portion of the business plan?

-Plan for communicating the benefits of personal training -Demand for personal-training services -Specific type or brand of training being offered

Question: 7 .2 of 20 Which of the following activities are personal trainer's scope of practice?

-Recognizing a client's physical or psychological problems that might interfere with safe and effective exercise -Administering appropriate fitness assessments - Using a health-history form to screen a client for appropriate placement and/or referral

Question: 1 of 20 Which of the following are the potential benefits of a sole proprietorship?

There is minimal ongoing paperwork All profits belong to the owner The owner makes all final decisions

Question: 14 of 20 In which section of a business plan should a personal trainer identify the operating model and how it is different or unique when compared to other training studios in the area?

Business description

Question: 5 of 20 Which of the following business structures has double taxation as one of its primary disadvantages

C-corporation

Question: 6 of 20 Which of the following standards has been used when a plaintiff is prevented from receiving remuneration following an injury due to the fact that he was found to have played a minor role in his own injury?

Contributory negligence

Question: 11 of 20 A trainer receives a bonus for meeting performance objectives on a quarterly basis. Is this personal trainer more likely a direct employee or an independent contractor?

Direct employee

Question: 18 of 20 Most buying decisions, particularly when it comes to service businesses like personal training, are financially driven

FALSE Why? Because Buying decisions are emotionally driven, meaning that prospective clients will think with logic, but act on emotion.

Question: 2 of 20 When working in a general partnership with a family member, it is a good idea to operate the business as a 50-50 partnership so that both partners have an equal say in how the business is run.

FALSE Why? Because Most attorneys will advise against operating a business as a 50-50 partnership, even if it involves owners from the same family. A 50-50 partnership can result in a stalemate, because neither partner can institute policy without the permission of the other, since business decisions must be approved by a majority (50.1%) of the owners.

Question: 9 of 20 When training in a client's home, a personal trainer must use recordings produced specifically for use in fitness facilities or risk being in violation of copyright law.

FALSE Why? Because When training clients in their homes, personal trainers can have clients provide the music for each session. In effect, the clients are then using these recording for their own private, non-commercial enjoyment

Question: 20 of 20 Having friends or family members pay you directly for personal-training services instead of processing those fees through the fitness facility is a good way to supplement your income

False Why? Because This practice, which is known as "training under the table," is illegal, unethical, and in violation of the ACE Code of Ethics.

Question: 3 of 20 A company experiences a yearly loss and one of the partners uses that loss to offset profits from another business. This is an example of __________.

Flow-through taxation

Which of the following business structures has double taxation?

General partnership, Franchise operation

Question: 19 of 20 Two personal trainers are working in the same market, one as a direct employee and one as an independent contractor. Which one is more likely to be earning a higher per-session training fee?

Independent contractor

Question: 7 of 20 Which of the following activities falls outside a personal trainer's scope of practice?

Providing progressive exercise prescriptions

Question: 4 of 20 Which type of corporation is most typically used by personal-training businesses?

Subchapter S-corporations

Question: 16 of 20 Small-group personal training provides financial benefits to both the trainer and client.

TRUE Why? Personal trainers who offer small-group training services increase their hourly earning power while giving each client a reduced cost of training. For example, a trainer who typically charges $60 per session can reduce the cost to $45 for each client, thereby increasing his or her hourly income to $90 for two participants.

Question: 8 of 20 An umbrella liability policy provides added coverage for all of the other insurance that a person may have in place.

TRUE Why? Because The umbrella policy provides added coverage for all of the other insurance (e.g., auto, home, professional liability) that a person may have in place.

Question: 13 of 20 Which of the following is an ADVANTAGE of working as an independent contractor?

The facility allows the trainer to establish all training fees

Question: 12 of 20 What is the DISADVANTAGE of working as a direct employee?

The personal trainer likely has to work an established minimum number of hours

Question: 17 of 20 What is the BEST response if a prospective client is unable to adjust his or her schedule to fit into the time that the personal trainer has available?

The trainer should refer this client to another trainer working in the facility

Question: 10 of 20 When evaluating the risk of injury associated with a particular activity, a personal trainer finds that the frequency of occurrence is low or seldom, and the severity of injury is categorized as high or vital. What is the BEST course of action?

Transfer