Intro to Bus Exam CHP 5-8

______ financing is a form of financing consisting of funds raised through the sale of stock in a business. Credit Monetary Equity Venture Debt

Equity

A well written business plan should contain... a vision and mission statement executive summary or company overview a marketing plan a management plan all of the above

all of the above

The _____ is an agency of the federal government that offers both managerial and financial assistance to small businesses. Small Business Administration Council for Small Business Business Incubator Agency Business Welfare Administration Federal Aid Program

Small Business Administration

Privately owned and managed _____ are licensed by the SBA and provide long term financing for small businesses. Angel Capital Electronic Networks Small Business Investment Companies Active Corps of Executives Service Corps of Retired Executives Small Business Development Centers

Small Business Investment Companies

International trade specialists that buy goods at a discount from small business and resell them abroad are called: domestic channel members export trading companies export management companies business trade unions commission house brokers

export trading companies

The Small Business Administration: helps people start and manage small business is privately owned company does not have a website is a financial institution is accurately described by all above

helps people start and manage small business

_____ is at the core of most business failures inadequate planning low interest rate a too tall hierarchical structure poor cash flow too much inventory

inadequate planning

Which of the following is a characteristic of the entrepreneurial personality? Risk aversion Willingness to be a follower rather than a leader Dependence on others Dependence on others for motivation Ambitious

Ambitious

The two forms of business financing are ____ and _____. Debt and Equity Equity and Leverage Debt and Credit Credit and Leverage Equity and Debt

Debt and Equity

Venture capital: gives the investor no voice in how the company in which he or she has invested will operate is borrowed money invested in start up businesses and provided by the Small Business Administration Includes all the money the owner of the business invests in his or her new enterprise is another name for the principal which a business borrows from a bank is financing obtained from investment firms that specialize in financing small, high growth companies

is financing obtained from investment firms that specialize in financing small, high growth companies

An entrepreneur is a person who _____ a business manages owns and operates finances works for locates

owns and operates

Angel investors: provide debt financing to a business by buying stock within the company are most interested in investing in businesses that are well established provide funding for start up businesses provide equity financing to a business by loaning the business money at a low interest rate are another name for bank loan officers who are responsible for funding start up businesses

provide funding for start up businesses