SBM Final
limited liability company
A _____ is a legal form of business created by filing documentation with a state government and has a choice of being taxed as either a corporation or a partnership.
a payment of profit made to owners of corporations.
A dividend is:
tax abatements
A legal reduction in taxes, _____ are provided by state and local governments to encourage specific activities that are expected to improve blighted areas or to provide additional employment.
Charge Back
A(n) ___ is the removal of an amount from a business's account in the event of fraud of customer challenge
accelerator
A(n) _____ is an organization that supports start-up technology businesses by providing inexpensive office space, a variety of support services, and resources.
Processing float
A(n) _____ is the time required to move checks among payers, payees, and banks.
Skimming
According to the U.S Chamber of commerce which of the following categories of employee theft is most prevalent
Cash Budget
For small businesses, a(n) ___ identifies how much and when money will come into and go out of the business.
the management's effectiveness in creating wealth from sales and from invested funds.
Profitability ratios are used to measure:
F
T/F A legal "artificial" entity that is formed by filing specific documents with a state government is called a partnership.
T
T/F A short-term debt is any debt that must be paid in less than one year from the date of the financial statement on which it is reported.
F
T/F Bank ledger balance is the sum of money that has actually been received and paid out of a depositor's account.
F
T/F Employer-sponsored health insurance is always standard among small businesses.
F
T/F For perks to provide powerful short-term boosts in motivation, they have to be expensive.
F
T/F From the point of view of an existing small business owner, financing with equity is both inexpensive and problem-free.
grants
The HelpAid Foundation, which was setup by a group of wealthy entrepreneurs, provides _____ to nonprofit organizations that work toward the welfare of women and children.
Book Balance
The difference between inflows of cash and outflows of cash recorded by a firm is called a(n) _____.
weighted average cost of capital
The expected mean future cost of funds is called _____.
Preparing a balance sheet for each accounting period.
The final step in preparing a master budget, and in preparing the pro forma financial statements for a business plan, is:
obtain increasing amounts of cash inflows to pay for added inventory, productive assets, and employees.
The main emphasis of financial management during the growth phase of a business is to:
Beth, a computer engineer, is sent by the company to attend a series of lectures being conducted at an engineering conference.
Which of the following is an example of off-the-job training?
Apprenticeship
Which of the following is an example of on-the-job training?
A newspaper editor offering benefits packages to employees who worked overtime
Which of the following is an example of the noncash incentive strategy to decrease cash outflow of a company?
Smoothing of cash flow
Which of the following is one of the financial management need when the firm is financing for operations?
Estimate the bank's available balance for the purpose of managing the firm's cash flows
Which of the following is one of the purposes of reconciling the differences in the bank and book balances?
Adding employees means that the business is serving more customers.
Which of the following is true of the hiring decisions for the owner of a small business?
Adequate equipment to perform job
Which of the following psychological contract items would fall under the "work facilitation" factor?
Internet recruiting
Which of the following recruitment methods gives the fastest responses?
Debt capital
Which of the following represents money borrowed for the purpose of investment in a business?
Denoting strict limits on promises and when those promises will be delivered
Which of the following should be followed to avoid making psychological contract with employees?
After-work parties
Which of the following would be an example of "perks" in small businesses?
Reconciling
____ accounting process that identifies the causes of all differences between books and bank balances
Cash Equivalents
_____ consist of marketable securities, commercial paper, and debt investments that mature in less than three months.
F
T/F The Age Discrimination in Employment Act does not apply to employers with 15 or less employees.
T
T/F The capacity of the business to repay both principal and interest on time is one of the main things that lenders check before they give businesses their money.
T
T/F The ratio of profits to owner investment in a business is called return on equity.
Autonomy
Craig was employed by James as an artist at his T-shirt designing company. Craig's job included designing logos and artwork for t-shirts. But Craig was increasingly frustrated that his creativity was stifled by management which demanded that he strictly adhere to the client's needs. He was not allowed to add in his ideas that he felt could make the design better. Eventually, this frustration led him to quit James's company. The decrease in which of the following reward factors led to Craig quitting the company?
F
T/F A cash disbursements budget is a schedule of the amounts and timings of the receipt of cash into a business.
F
T/F Amounts that are owed to a business for merchandise that was sold on credit are called payables.
T
T/F Growth trap refers to a financial crisis that is caused by a business growing faster than it can be financed.
F
T/F Implicitly communicating conflicting terms is useful for business owners when making psychological contracts with employees.
F
T/F In small businesses, employee referrals can only be successful if they are handled informally.
F
T/F Money contributed to the business in return for part ownership of the business is referred to as dividends.
T
T/F To get started on writing the job description, the first step is to write down the job title and whom that person will report to.