Entrepreneurship - FINAL
Which company would be more stable financially: Company A with a current ratio of 80% or one with 70%?
80% (the higher the ratio, the more liquid the company is.)
Which of the following documents is most analogous to a business plan of a high-potential venture? A) A blueprint B) A roadmap C) An investment contract D) A 'How To' manual
A) A blueprint B) A roadmap
_____ Which of the following two statements have a better chance of spurring creativity? A.Can we put it to other uses? B. We've never done anything like that before.
A.Can we put it to other uses?
Short Answer/Essay: Compare and contrast the advantages and disadvantages of being an employee verses an entrepreneur? Complete each of the four sections below. · Describe the advantages of being an employee. · Describe the disadvantages of being an employee. · Describe the advantages of being an entrepreneur. · Describe the disadvantages of being an entrepreneur.
Analysis Response - Evaluate advantages and disadvantages of entrepreneurship and explain your reasoning
Would you rather be an entrepreneur or an employee? Explain your reason.
Analysis Response - Evaluate advantages and disadvantages of entrepreneurship and explain your reasoning
Compare and contrast these two statements and give at least two reasons why that thinking might affect the chances of someone becoming an entrepreneur: Can we put it to other uses? We've never done anything like that before.
Answer: 1. "Can we put it to other uses?" spurs creativity and helps a person think "outside the box." 2. "We've never done anything like that before" puts up a road block to thinking in a new way to encourage creativity. It is a barrier to creativity.
The following entrepreneurs just completed a seminar in bootstrapping. Some of them listened well, while others must have slept through the training. Which ones did well? a. Jennifer offered to clean her neighbor's garage if the neighbor, an artist, would paint a sign for her? b. Jerre cleaned out a corner of her basement to set up her office. c. Milt figured he was well worth the $10,000 a year salary he paid himself from his part time business. d. Gil was running short of cash so he got a cash advance from one of his credit cards.
Answer: a. yes b. yes c. no d. no
Turnover ratio compares net sales to total ending assets. If a company has a 18.9 ratio on $350,000 of net sales, what is the value of the total ending assets? a. $2,350,000 b. $66,038 c. $1,855,000 d. $185,500
Answer: $1,855,000 ($350,000/$1,855,000 = 18.9)
Latinos are the fastest growing group in the USA. You are studying the potential of a sports equipment and clothing store. The store will be located in a suburban Texas community. When studying Latinos as potential customers for your store, identity three questions you would ask to better understand the potential Latino buyers actions:
Answer: (Any set of reasonable answers. Here are a few) · What sports do your family play? · Where do you currently purchase sports equipment and clothes? Why do you shop there? · When it comes to sport-team logo wear (sweatshirts, t-shirts, caps) what three teams are your favorites? · How much do you spend on children's (ages 1-14) clothes monthly? · What sports do your family watch on TV?
After sales and expense estimates have been projected, indicators need to be monitored to reveal areas of success and areas that need improvement. Suggested time periods in the start-up year are: _____months, _______ months, _______ months
Answer: 3, 6, 12
Current ratio measures a company's ability to meet short-term debt. What would be the current ratio for a business that has $350,000 of assets and $450,000 of liabilities? a. 70% b. 78% c. 80% d. 129%
Answer: 78% (Current ratio = current assets/current liabilities
You are preparing a comprehensive business plan for your venture. What types of evidence can you provide that shows a strong and effective entrepreneurial team?
Answer: Any reasonable response. Here are a few typical or expected responses: · Individual team members have worked together at a previous business · Individual team members have association or state or national certifications within the industry. · Team members have worked together on non-profit or profit making boards. · Team members were competitors within the industry.
Return on Sales measures a company's gross profit margin. Is the correct equation: a. Net income/net sales b. Net sales/net income c. Gross sales/gross income d. Gross income/gross sales
Answer: a. Net income/net sales
Brainstorm two entrepreneurial ideas out of reusing or recycling blue jeans into a new product that can be used for soldiers in a hot climate during the day and a cool climate at night. Explain your ideas to the best of your ability.
Answers vary but might include: 1. Making them into rag blankets to keep the troops warm at night. 2. Making them into bags to carry supplies at their camp.
Identify one hobby, talent or interest you have that could translate into a business opportunity. Explain your answer.
Answers will vary
Explain how creative thought might help the entrepreneurial process. How could working with a group of people help and hinder solving the puzzles or thinking creatively about an entrepreneurial idea? Help: Hinder:
Answers will vary but may be something like this... 1. Help: Having more people helped us get more ideas. Having more people helped us bounce ideas off of one another, which helped us keep being more creative. 2. Hinder: People might want to solve it their way and not listen to others. They might say inhibiting creativity statements.
Analyze the following description of entrepreneurial characteristics. o "Entrepreneurs like to take risks to the extreme of being reckless. They seek opportunities that may offer a challenge even if it involves an unreasonable chance of success."
Answers will vary but should be something like the following statements. This description is only partially true. Entrepreneurs do like to take risks however, not to the extent of being reckless or being involved with unreasonable chances for success.
Give an example of how the entrepreneur, Henry Ford, responded to society's wants and then ended up changing society and creating more wants.
Answers will vary, but might be something like the following: Henry Ford responded to society's wants of improved transportation or traveling made easier for the individual. The invention of the motor vehicle has changes society immensely by having us become a more mobile society, traveling to jobs miles away from our home or neighborhood, traveling hundreds of miles in one day. Society then has kept creating more wants in a vehicle, such as electric windows seats and doors, warmed seats, air conditioning, VCR and DVD players in motor vehicles.
You are considering opening a coffee house in a fast growing urban area. Identify three sources you could use to find out about nearby competitors:
Any three reasonable sources, but typically you could expect the following: · Yellow pages · Suppliers · Potential customers · Business directories · Local business associations (Food service association) · GPS systems
Identify three elements of a positioning strategy.
Anything that leads the customer to their perception of your brand or product in relation to competing brands. Anything that establishes your image. Mission Statement, Market Category, Customer Pain Points, What makes you different, Brand Identity, Vision, Product Positioning Statement etc.
List 6 of your personal characteristics that relate to the study of entrepreneurship and assess how each might affect your success as an entrepreneur.
Assess your own individual entrepreneurial characteristics.
Dr. Schrag owned the following Assets as of January 1st: Cash $6,600 X-ray-Equipment $9,000 Office Equipment $3,500 Laboratory Equipment $3,000 Top Flight Office Equipment $3000 Bowlus Office Supplies $1000 Forsyth Gas Company $2200 Compute the following Assets_________________ = Liabilities______________ + Owner's Equity______________
Assets = 22,100 --- Liabilities = 6,200 --- Owner's Equity = 15,900
The relationship between the three basic accounting elements: ____________________, ________________, and ______________________, can be expressed in the form of a simple equation known as the accounting equation.
Assets, Liabilities, Owner's Equity
What is at the heart of the entrepreneurial process? A) Innovation and creativity B) Opportunity recognition C) Team work D) Marshaling resources
B) Opportunity recognition
Being opportunity-focused means never lose sight of what? A) Competitive advantages B) The customer and the marketplace C) The economic and funding metrics of the venture D) Distinctive competencies
B) The customer and the marketplace
A financial statement that shows a listing of all assets and liabilities at a given point in time is called a ___________ ___________.
Balance Sheet or Net-Worth Statement
Which of the following is not a persistent myth about entrepreneurs? A) Leaders are born, not made B) Entrepreneurs are gamblers C) Solo entrepreneurs limit their potential for growth D) Entrepreneurs should be young and energetic
C) Solo entrepreneurs limit their potential for growth
_____Which of the following is a barrier to creativity? A. Seeing many "correct" answers B. Being illogical C. Fearing mistakes/failure D. Believing you are creative
C. Fearing mistakes/failure
A financial statement which shows just cash money flowing in and out of the business is called a ___________ ____________.
Cash Flow Statement
A startup will require significant time to become established and thus provide positive ______________________.
Cash flows
Most entrepreneurs launching businesses, particularly the first time, run out of what quicker than they bring in customers and profitable sales?
Cash.
An accountant cannot be a(n) _____________________________ until meeting the state's requirements where he/she plans to operate.
Certified Public Accountant (CPA)
Long-term debt is: a. Money owed for a period longer than 10 years b. Money owed for a period longer than 5 years c. Money owed for a period longer than 1 year d. All of the above
D. Long term debt includes loans from bank or other sources that lend money for longer than 12 months.
TRUE OR FALSE Entrepreneurship does not occur in the public sector.
False
TRUE/FALSE A job description makes good employees.
False
TRUE/FALSE A major disadvantage of doing business as a general partnership is that all partners are not personally liable for business debts and liabilities.
False
TRUE/FALSE A mortgage on an office building is an example of an asset.
False
TRUE/FALSE All business people make ethical decisions.
False
TRUE/FALSE An entrepreneurs personal self-interests always comes first when making business decisions.
False
TRUE/FALSE Asking employees to work overtime every weekend is a sign of ethical business practices.
False
TRUE/FALSE Business owners only need one comparison tool to help to make future changes for their business.
False
TRUE/FALSE Competitive advantage only involves pricing goods or services lower than a competitor.
False
TRUE/FALSE Expecting excellence and setting high standards of conduct only confuse employees and decrease morale.
False
TRUE/FALSE Honest people always act ethically.
False
TRUE/FALSE Innovation and creativity cannot be taught and/or learned.
False
TRUE/FALSE Landfills are a never-ending storage facility for waste products created by industry.
False
TRUE/FALSE Organizational plans are necessary in all businesses.
False
TRUE/FALSE Problem solving and ethics are unrelated in an entrepreneurial endeavor.
False
TRUE/FALSE The Balance Sheet uses the basic equation A + OE = L.
False
TRUE/FALSE The best opportunities are focused enterprises; what you start out to do is what you end up doing.
False
TRUE/FALSE The foremost purpose of a business plan is to secure financing for the new venture.
False
TRUE/FALSE While very important to the business owner, the business plan does not need to include cash flow projections
False
TRUE/FALSE ______ Increased sales will always solve supply chain problems.
False
TRUE/FALSE ______ The Net Income Statement is also called the Profit and Loss Statement.
False
TRUE/FALSE The total debt-to-asset ratio is one of several ratios used to measure Net Worth.
False - Solvency
TRUE/FALSE Assets that will be used or converted into cash within one year are called Long Term Assets.
False Current Assets
A balance sheet, income statement, statement of changes in net worth and statement of cash flow, which are used to measure the financial condition of a business, are all called
Financial Statements
The ________________________, sometimes called the profit and loss statement, reports the profitability of the business for a specified period of time.
Income Statement
This financial statement shows a summary of income and expenses over a given time period. In addition to cash income and expenses, it takes into account non-cash expenses like depreciation. This statement is called a ______________ ________________.
Income Statement
How does a business type affect the sources of start-up capital?
Investors want to minimize risk while maximizing profits. Entrepreneurs must decide if the investor is product or market orientated and then write the plan that quickly, efficiently and realistically addresses the expertise of the investor.
The first step in successful ________________ is understanding the consumer's motivations and decision-making processes.
Marketing
__________________Is a form of communication designed to reach a large number of people.
Mass media
Turnover Ratio - Measures the activity of the assets and the ability of the business to generate sales through the use of the assets. Low turnover is a sign of inefficiency, since inventory usually has a rate of return of zero. Solve the following: If the Net Sales of the business is $ 1,500 and the Total Assets are $5,000. What is the Turnover Ratio?
Net Sales/Total Assets $1,500/$5,000 = 0.3 Turnover
Describe the components of the marketing mix.
Product, Price, Place, Promotion
_____________ _______________is an excellent method for determining the overall financial condition of your small business. It puts the information from a financial statement into perspective, helping to spot financial patterns that may threaten the health of your company.
Ratio analysis
All of the following are characteristics of a free enterprise system except: a. Anyone can start a business b. Resources are controlled by the government c. Plenty of competition d. Consumers have choices
Resources are controlled by the government
Bootstrapping can create significant competitive advantages.
True
TRUE OR FALSE Entrepreneurs are the mechanism by which our economy turns supply into demand.
True
TRUE OR FALSE Entrepreneurship is the process of getting into and operating a business of one's own.
True
TRUE OR FALSE Entrepreneurship is the process of starting, opening and growing a business.
True
TRUE OR FALSE Failure is part of the dynamics of innovation and economic renewal.
True
TRUE OR FALSE Most entrepreneurs find themselves working long hours, especially during the start-up period of the business.
True
TRUE/FALSE A break-even analysis helps analyze costs and the level of sales needed to cover costs.
True
TRUE/FALSE A chain of command encourages managers to use delegation of responsibilities.
True
TRUE/FALSE A corporation is owned by multiple shareholders and is overseen by a board of directors, which hires the business's managerial staff.
True
TRUE/FALSE A sole proprietorship is a business owned by one person.
True
TRUE/FALSE An individual proprietor owns and manages the business and is responsible for all business transactions, and personally responsible for all debts and liabilities incurred by the business.
True
TRUE/FALSE An organizational chart diagram can easily be created using PowerPoint: insert, picture, organizational chart.
True
TRUE/FALSE Asking employees for ideas to improve product safety demonstrates ethical leadership.
True
TRUE/FALSE Business sources of capital could include inventory financing.
True
TRUE/FALSE Cash flow is not the same as profitability.
True
TRUE/FALSE Cost of goods sold includes packaging and transportation costs.
True
TRUE/FALSE Creating and updating five and ten-year company plans demonstrates leadership.
True
TRUE/FALSE Creative ideas can be generated from the world in which a person lives.
True
TRUE/FALSE Current ratio is calculated as current assets divided by current liabilities.
True
TRUE/FALSE Customers must be treated ethically in entrepreneurial situations.
True
TRUE/FALSE Debt-to-asset ratio is calculated as total liabilities divided by total assets.
True
TRUE/FALSE Each person can be inspired to generate new uses for a common everyday object such as a pencil, plastic milk jug, pop bottle.
True
TRUE/FALSE Entrepreneurial opportunities can be generated from things, events or objects that bother someone.
True
TRUE/FALSE Entrepreneurs need to be able to come up with logical ways to solve problems.
True
TRUE/FALSE Envisioning company growth is a form of ethical leadership.
True
TRUE/FALSE Equipment installation costs are included in start-up costs.
True
TRUE/FALSE Evaluating employees to determine strengths and weaknesses is a form of ethical leadership.
True
TRUE/FALSE Evaluating products to reduce packaging is a demonstration of social responsibility.
True
TRUE/FALSE Financial Efficiency ratios show what percent of gross revenue went to pay interest, operating expenses, and depreciation, and how much was left for net income.
True
TRUE/FALSE Financial Statements commonly prepared by a business include an income statement and balance sheet.
True
TRUE/FALSE Financial ratios are one tool that can be used to help analyze and plan for future decisions.
True
TRUE/FALSE For owners of small businesses, extremely long hours of 70, 80, or even 100 hours a week, and rare vacations, are often the rule rather than the exception.
True
TRUE/FALSE Liquidity refers to the degree to which debt obligations coming due in the next 12 months can be paid from cash or assets that will be turned into cash.
True
TRUE/FALSE Middle level managers job titles include: general manager, plant manager, regional manager, and divisional manager.
True
TRUE/FALSE Money borrowed with the understanding that it will be repaid is referred to as Credit.
True
TRUE/FALSE Organizational charts are created to foster two-way communication.
True
TRUE/FALSE Ownership of portion of a business is called Equity.
True
TRUE/FALSE Problem solving involves creative and critical thinking skills.
True
TRUE/FALSE Psychographics is the study of buyer's attributes relating to personality, values, attitudes, interests, or lifestyles
True
TRUE/FALSE Raising or lowering your selling price of a product or service would be one way to increase your profits.
True
TRUE/FALSE Repayment capacity measures show the degree to which cash generated from the business and other sources will be sufficient to pay principal and interest payments as they come due.
True
TRUE/FALSE Social responsibility involves activities like making store-fronts safe, clean and user friendly.
True
TRUE/FALSE The Accounting Equation may be expressed as Assets-Liabilities=Owner's Equity.
True
TRUE/FALSE The vast majority of radical innovation occurs in new and smaller firms.
True
TRUE/FALSE Using low-cost or free techniques to minimize your cost of doing business is called bootstrapping.
True
TRUE/FALSE Venture capitalists may provide financing in exchange for an equity position in the business.
True
TRUE/FALSE When analyzing your business, a comparison should be made to goals that were set.
True
TRUE/FALSE ______ Suggested time periods for sales and expense estimates are at 3 months, 6 months and 1 year intervals.
True
Start-up costs differ from operating costs as follows. a) Start-up costs happen once in a business life. b) Start-up costs are annual expenses. c) Start-up costs are usually paid with investor resources. d) Start-up costs are tax free.
a) Start-up costs happen once in a business life.
The items and property owned or controlled by an individual or business that have commercial or exchange value. Items may also include claims against others. a. Assets b. Liabilities c. Bond d. Credit
a. Assets
Debt to Equity ratio is: a. Assets - Liabilities b. Networth/Assets c. Income - Expense d. Debt/Equity
a. Assets - Liabilities
The term used to describe money invested in anticipation of return over a long period of time as used in capital assets, capital investments, and capital improvements. a. Capital b. Liability c. Depreciation d. Loan
a. Capital
______ Publishing employees' personal cell phone numbers on a company website is: a. Ethically wrong b. Ethically right as long as you have their written permission c. Ethically right. d. Opening yourself up to a lawsuit.
a. Ethically wrong
Maria buys soda in six can units for $.40 each. She sells the cans of soda individually through her catering business at $.80 each. Maria's pricing strategy is: a. Key stoning b. Optimizing c. Leveraging d. Journalizing
a. Key stoning
_______ You work as a receptionist at a local manufacturing company. Last week a potential new employee requested a job application and had a friend fill it out for him while they sat in the lobby. The human resources person reading the application was very impressed with skills listed. Should you a. Make sure the HR person realizes the applicant did not fill out the paperwork. b. Ignore the situation because it is not your problem. c. Leave a note for the HR person but do not sign your name. d. None of the above.
a. Make sure the HR person realizes the applicant did not fill out the paperwork.
The amount of funds left over after operating expenses for a business is called: a. Net Income b. Liabilities c. Gross Profit d. Operating Costs
a. Net Income
______ The terms of a partnership are partly governed by a: a. Partnership agreement b. Handshake agreement c. A vote of the members d. President
a. Partnership agreement
The four P's of marketing are: a. Product, price, place, promotion b. Presence, profitability, portability, product c. Positioning, positive cash flow, performance, placement d. Potential, position, positive top-of-mind, principal
a. Product, price, place, promotion
_______ While vacationing in San Francisco, a street vendor approached you about selling brand name jeans in your high school for $5 per pair. You a. Start seeing dollar signs and give him your cell phone number. b. Walk away knowing if an opportunity looks too good to be true, it probably is. c. Contact the closest police officer and report the vendor. d. Lecture the person about ethical standards.
a. Walk away knowing if an opportunity looks too good to be true, it probably is.
Companies are looking for returns on equity that are_____________. a. high and growing. b. breaking-even. c. able to payoff loan. d. can obtain loans.
a. high and growing.
A startup can be very difficult to finance because there are no pre-existing __________ to pledge.
assets
_______ A code of ethics is a. A new term for an employment contract. b. A set of guidelines that details appropriate employee conduct. c. A vacation guidebook. d. None of the above.
b. A set of guidelines that details appropriate employee conduct.
First level managers a. Usually have a four-year college degree b. Are responsible with training and evaluating employees they supervise c. Are charged with motivating upper level managers d. Reflect the skills of the top-level managers
b. Are responsible with training and evaluating employees they supervise
______________________ should be recorded as close to the beginning and ending of the accounting year as possible. a. Depreciation b. Assets & Liabilities c. Business Income d. Cost of Goods Sold
b. Assets & Liabilities
Financial obligations of a business a. Assets b. Liabilities c. Bond d. Credit
b. Liabilities
The financial claim by owners on the total assets of a business, calculated as total assets minus total liabilities. a. Credit b. Net Worth c. Bankruptcy d. Financing
b. Net Worth
In market research, the term "demographics" means: a. The process of deciding who will buy a product or service. b. Numeric facts about particular groups of people. c. Price, product, placement, and positioning.
b. Numeric facts about particular groups of people.
______ The following is a list of DISADVANTAGES of a _________________. 1. Unlimited legal liability for all debts and claims 2. Terminates upon death, withdrawal, or addition of partner 3. Individual partners act as agents for the partnership a. Sole proprietorship b. Partnership c. Corporation d. Limited liability corporation
b. Partnership
Sherylann meets with her potential customer face to face. She explains the unique features and benefits the prospect will enjoy if they switch to her quick-printing service. The process she is using is: a. Marketing b. Selling c. Positioning d. Up-selling
b. Selling
When selecting insurance coverage, which statement is typically correct? a. The more the deductible, the higher the premium b. The more the deductible the lower the premium c. The more the deductible, the less the coverage d. The higher the deductible, the better the coverage
b. The more the deductible the lower the premium
The ____________________________ is a snapshot of your business, including its assets, liabilities, and capital.
balance sheet
The _____________________________________ is a snapshot of your business, including its assets, liabilities, and capital.
balance sheet
Every business hopes to have a core of ______________________________________.
brand-loyal consumers
_______ While walking home last night, you passed a store and saw a suspicious person with a flash light walking around inside the building. You a. Pound on the front window to get the intruder to leave. b. Find the owner's name and call him or her with the information c. Call 911 and report a theft. d. Go home and hope nothing bad happens.
c. Call 911 and report a theft.
______ The following are a list of ADVANTAGES of a ____________________. 1. Limited liability for managers and stockholders 2. Ownership is transferable 3. Does not terminate when ownership changes 4. May choose a fiscal year end other than December 31 a. Sole proprietorship b. Partnership c. Corporation d. Limited liability Corporation
c. Corporation
Which of the following methods will yield the greatest amount of emotional data when collecting market research data? a. Postage paid return post card survey b. Telephone interviews c. Face to face visits d. Questionnaire
c. Face to face visits
The funds left over after accounting for the cost of goods sold is called: a. Net Income b. Liabilities c. Gross Profit d. Operating Costs
c. Gross Profit
All of the following are considered marketing research "who's" except _______ a. User b. Influencer c. Neutral d. Decision-maker
c. Neutral
Advertising, insurance, rent and utilities are all considered: a. Gross margin factors b. Unanticipated expenses c. Operating costs d. Cost of goods
c. Operating costs
At a grocery store check-out line, the clerk rings up the sale as $9.95 rather than $59.95. Do you: a. Take extra $50 and use it for Christmas shopping. b. Take the $50 and put it in the collection plate at church. c. Tell the clerk of the mistake and make sure the sale is entered correctly. d. Call the manager and recommend the clerk be fired.
c. Tell the clerk of the mistake and make sure the sale is entered correctly.
Which of the following should receive first consideration in the opportunity screening process? a. The Product b. The Financials c. The Market d. Depends on the opportunity
c. The Market
_______ In which level of the organizational chart does the long-range planning usually occur? a. Front level (supervisory) workers because they know what goes on daily. b. Middle level managers because they understand people. c. Top level managers because they watch industry and economic trends
c. Top level managers because they watch industry and economic trends
A cash flow statement is: a. a portion of the profits distributed to owners b. a statement of net income or net loss for a specific period of time c. cash receipts minus cash disbursements during a defined period of time d. a summary of assets, liabilities and owners equity
c. cash receipts minus cash disbursements during a defined period of time
Quick Ratio measures: a. Income b. Expense c. measures a company's financial strength or weakness d. Current Liabilities
c. measures a company's financial strength or weakness
Two-way communication a. focuses on respect for authority and structure b. de-emphasizes negotiation and compromising c. relies on honest and mutual give-and-take rather than one-way persuasion incorporates lots of feedback from target audiences and public relations firms
c. relies on honest and mutual give-and-take rather than one-way persuasion incorporates lots of feedback from target audiences and public relations firm
Successful entrepreneurs are not gamblers; they take________________.
calculated risks
Sarah invested $100 in her brother's coffee shop. The coffee shop was successful within two years. Her brother paid her $200 for her share of the business. Sarah's return on investment rate was: a. 200% b. 25% c. 50% d. 100%
d. 100%
_______ Your supervisor asked you to help organize the supply closet yesterday. While working, you noticed an oversupply of staples on the shelf. You should: a. Take two boxes home because it will make the shelf look cleaner. b. Find a way to organize the supplies so everything fits. c. Leave one carton of the staples in the box but leave a note on the shelf noting another carton is available. d. Alert the supply purchasing person of the overstocked situation in case a problem exists in the purchasing program.
d. Alert the supply purchasing person of the overstocked situation in case a problem exists in the purchasing program.
Ethical leaders exhibit the following characteristics a. Honesty, reliability and fairness b. Social responsibility c. Passion and persistence d. All of the above
d. All of the above
Top-level managers hold titles such as: a. Chief Executive Officer (CEO) and Chief Financial Officer (CFO), b. Chief Operational Officer (COO) and Chief Technology Officer (CTO) c. Chairperson of the Board, President, Vice President d. All of the above
d. All of the above
_______ Middle level managers a. Set goals for their departments and other business units. b. Motivate and assist first-line managers to achieve business objectives. c. Communicate upward, by offering suggestions and feedback to top managers. d. All of the above
d. All of the above
All of the following are ways to protect your ideas except: a. Trademarks b. Patents c. Copyrights d. By-laws
d. By-laws
______ Corporations, limited liability partnerships, and other specific types of business organizations protect their owners from business failure by doing business under a separate legal entity with certain legal protections. This type of business entity is called: a. Sole proprietorship b. Partnership c. Corporation d. Limited liability
d. Limited liability
_______ Your child was sick last month and you ended up coming late to work three days in a row. Your manager did not say anything to you about making up the time. Now, your dog needs to be at the pet groomer's office at 8 a.m. and you will be late for work again. You should: a. Assume your manager will not notice because you work so efficiently anyway. b. Ask your co-worker to cover for you if the manager comes to your desk looking for you. c. Ask your mother to take the dog to the groomer and hope your manager never finds out about your previous tardiness. d. Make prior arrangements with your manager to make up the missed time after work.
d. Make prior arrangements with your manager to make up the missed time after work.
The legal structure of a new venture is typically described in detail in which section of the business plan? a. Finances b. Executive Summary c. Marketing d. Management
d. Management
The dollar amount of a loan outstanding at a point in time, or the portion of a payment that represents a reduction in loan balance. a. Financing b. Interest c. Asset d. Principal
d. Principal
The body of the income statement consists of an itemized list of a. Assets and Liabilities b. Assets and Owner's Equity c. Cash and Revenue d. Revenue and Expenses
d. Revenue and Expenses
The EXECUTIVE SUMMARY of a business plan should include all of the following except: a. Description of the business b. Unique features and proprietary rights c. Market potential d. Team member resumes and detailed background
d. Team member resumes and detailed background
_______ As a purchasing agent for a local manufacturing firm, you have been offered tickets to a university basketball game. Ethically, a. You decide to take a friend and see the game, because the value of the tickets is less than $50. b. You decide to use the tickets because you are overworked and underpaid. c. You donate the tickets to the "Big Brothers and Big Sisters" program. d. You decline the offer.
d. You decline the offer.
Financial statements are usually compared with a. one or more previous periods b. data from the industry as a whole c. similar businesses in the industry d. all of the above
d. all of the above
Current ratio = a. Total Assets + Total Liabilities b. Business Income - Business Expense c. Total Assets - Total Liabilities d. current assets / Current liabilities
d. current assets / Current liabilities
For a successful entrepreneur, seeking and using ______________ is central to the habit of learning from mistakes and setbacks, and of responding to the unexpected.
feedback
Your _______________________ can be a picture, text, or a combination of the two that makes consumers think of your business.
logo
