Entrepreneurship Chapter 2 Review

A creative group problem-solving technique that involves generating a large number of fresh ideas

Brainstorming

To help them make decisions and solve problems, entrepreneurs often use: - A formal problem solving model - consensus building - brainstorming - all of the above

all of the above

The percent that is the basis for interest earned or paid

Rate of Interest

An amount deducted from the retail price to determine the sales price

Markdown

An amount charged for borrowing money

Interest

An agreement among a group of people

Consensus

Which of the following is not a step in the decision-making process? - Identify the action - Evaluate alternatives and select the best option - Define the problem - Evaluate the action

Identify the action

A short written form of business communication that has a set format

Memorandum

A memo from one person in a company to another

Interoffice Memo

An amount added to the cost price to determine the sales price

Markup

Amount of money borrowed in a loan

Principal

Number of years for which a loan is extended

Term

Which of the following is not an important tip to keep in mind when conducting a business conversation on the telephone?

Thank the person at the end of the conversation

To help them make decisions and solve problems, entrepreneurs often use

a formal-problem solving model

A problem-solving method of generating fresh ideas is called

brainstorming

A problem-solving method that builds trust among employees is called

consensus building

Which of the following is not a step in the decision-making process? - define the solution - define the problem - take action - identify various solutions

define the solution

To determine a monthly growth rate

divide the dollar increase in one month by the sales the previous month

To determine the average monthly growth rate

divide the total monthly growth by the number of months of data

Problems in business often occur because people

fail to listen to each other

Business letters are written to

negotiate purchases

Business letters are written to

respond to customer queries

Which of the following is not an important tip to keep in mind when conducting a face-to-face business meeting? - take notes - show that you are listening carefully - speak clearly - thank the person at the end of the meeting

take notes