Quiz 1 & 2

Which of the following is an example of a company objective that might be developed by top management:

To maintain or increase market share

One of the main purposes of a business plan is to help a new business

establish objectives.

One of the main reasons why owners develop a business plan before starting a new business is to

estimate financial needs.

The part of the business plan that gives an overview of the entire document is the

executive summary.

Establishing clearly formulated, overall organizational objectives provides a business with

Direction for the business's activities.

The objectives that managers develop for a business to attain are also intended to serve as operating

Guidelines

Which of the following should effective managerial planning do:

Reduce uncertainty

A mission statement should be

Short, specific, and understandable.

Which of the following is a reason why managers develop company objectives:

To identify business purpose

Which of the following questions should effective managerial planning answer:

What do we want to do?

In which way can a start-up business benefit from writing a business plan?

Define managers' roles

The new business owner set a goal of selling $50,000 of goods in the first six months. This is anexample of a(n) __________ objective.

Measurable

Which of the following is the most effective mission statement:

We create happiness by providing the finest in entertainment for people of all ages, everywhere.

Which of the following is the first step of effective managerial planning:

Use a systematic approach to establish objectives

Which of the following are characteristics of tactical planning:

Short-range and specific

One of the purposes of developing a business plan before starting a new business is to

understand the risks involved.

The fundamental activity associated with the planning function of management involves

looking ahead.