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.