ACCOUNTING UNIT 1
Information about business opportunities is available from
Small Business Administration
Although entrepreneurship is risky, entrepreneurs can make a lot of money.
True
An advantage of entrepreneurship is that nobody tells an entrepreneur what to do
True
An entrepreneur owns, operates, and takes risks in the business.
True
Assessing different business opportunities helps you identify those likely to succeed.
True
Assessing your background and experience can help you determine whether you are prepared to run a specific business.
True
Before starting a business. It is important to identify the kinds of entrepreneurial opportunities that match you aptitudes and interests.
True
Entrepreneurs constantly change U.S. business and contribute to the nation's overall good.
True
Entrepreneurs need to be able to make quick decisions.
True
Entrepreneurs try to meet the needs of the market place by supplying a product or service.
True
Entrepreneurship involves risk, which is both an advantage and a disadvantage.
True
Financial goals may include how quickly you can pay your debts.
True
Ideas are thoughts or concepts that come from creative thinking.
True
In a brainstorming session, everyone is encouraged to offer possible solutions.
True
Libraries have publications that provide data of interest to entrepreneurs
True
Manufacturing businesses produce the products they sell
True
Part of building a business plan includes assessing strengths and weaknesses of both the entrepreneur and the business opportunity.
True
Running your own business is difficult, and many companies started by entrepreneurs go out of business.
True
Small businesses contribute billion of dollars to the U.S. economy every year.
True
The creativity of entrepreneurs has led to technological change and increased productivity.
True
The owner's business experience is a factor that contributes to the likelihood of success.
True
To decide whether or not a business opportunity is realistic for you, compare your background and experience with the experience of people who own that kind of business.
True
To determine if entrepreneurship is right for you, you need to perform a self-assessment
True
You can learn about business opportunities by talking to other entrepreneurs.
True
You past experiences are a key factor in determining your commitment to a business
True
Which of the following is a retail business?
Jewelry store
About how many businesses do not survive beyond four years?
50%
According to the Small Business Administration's Office of Advocacy, how many new businesses survive for at least 2 years?
67%
In the problem-solving process, the step in which you implement your solution.
Action
Brainstorming
All answers are correct
Which of the following is a retail business?
All answers are correct
A person who works for someone else is
An employee
A problem-solving technique that involves generating a large number of ideas.
Brainstorming
A disadvantage of entrepreneurship is that entrepreneurs
Do not have regular income
The process of running a business of one's own.
Entrepreneurship
A florist shop is an example of a service business.
False
A travel agency is a retailing business because it sells airline and train tickets.
False
An advantage of entrepreneurship is that owners make all decisions by themselves.
False
Aptitude is the ability to evaluate your strengths and weaknesses.
False
Brainstorming is always done in a group setting
False
Entrepreneurial businesses include retailing businesses, such as clothing and furniture stores, but do not include service businesses
False
Entrepreneurs and employees are both directly affected by the consequences of the decisions they make.
False
Everyone has the qualities and aptitude needed to become a successful entrepreneur
False
Following a brainstorming session, a decision should be made immediately.
False
Identifying one or two possible solutions to a problem is usually sufficient.
False
It is not necessary to determine how much money it will take to start a business because you will be able to borrow the money you need.
False
Many companies display their products at the Small Business Administration (SBA).
False
Non-financial goals usually get in the way of an entrepreneur's chances for success.
False
Opportunities are thoughts or concepts that come from creative thinking.
False
Planning ahead doesn't work for entrepreneurs because new businesses are too unpredictable.
False
Small companies cannot take as many risks as large companies, so small companies are less likely to be innovative.
False
Small firms with fewer than 500 employees represent about 25 percent of all businesses in the United States today.
False
Small firms with fewer than 500 employees represent about 50% of all business in the United States today.
False
Successful entrepreneurs need to be self confident because they must make decisions alone, but they do not need to be creative because they can hire creative people
False
You financial and non-financial goals do not have to be realistic because you will be able to change them after you start your business.
False
SMART goals are
Measurable
When comparing different business opportunities, an entrepreneur should
Perform self assessment
Which of the following is not a characteristic of a successful entrepreneur?
dependence
Non-financial goals are important for an entrepreneur because they
determine personal satisfaction
People who work for someone else
employees
People who own, operate, and take the risk of a business venture.
entrepreneurs
How quickly you will pay off your debts.
financial goal
An assessment of your interests is
helpful in deciding what business is right for you
Financial goals include
how much you will make during the first year of operation.
Aptitude is the ability to
learn a particular kind of job
Possibilities from existing conditions are
opportunities
Possibilities that arise from existing conditions.
opportunities
Manufacturing businesses
produce the products they sell.
The Small Business Administration (SBA)
provides information that may be helpful for small businesses
Evaluation of your strengths and weaknesses.
self-assessment
A self-assessment is an evaluation of your
strengths and weaknesses
Special meeting at which companies display their products.
trade show
Special meetings where companies display their products are
trade shows
Disadvantages of entrepreneurship include
uncertain income AND risk
An employee
works for someone else
In U.S. history, entrepreneurs have
been an important part of the American economy.
An advantage of entrepreneurship is that entrepreneurs
can work in a field that interests them
Entrepreneurs try to
all of the answers are correct
Entrepreneurs must realize that there are other stakeholders in their business, such as
all of the answers are correct.
Major factors in a firm's success include
all of the answers are correct.
In the U.S. today, small companies
all of the responses are correct.
A person who takes the risk of a business venture is
an entrepreneur.
The ability to learn a particular kind of job.
aptitude
