Intro to Business Final Exam Review

When developing a product or service, a business must do all of the following except

• create a need for the product or service

• evaluate the demand for the product or service.

• obtain start-up and operating capital.

• keep records to satisfy government requirements.

One of the biggest obstacles in starting a business is

• having a good idea.

• being good at something.

• accepting responsibility.

• obtaining financing.

A written description of a business venture that describes all aspects of the business is called

• a company charter.

• a company policy.

• a business plan.

• an executive summary.

SBA stands for

• Start-Up business

• Small Business Agency

• Small Business Administration

• Small Business of America

Challenges an entrepreneur might face include all of the following except

• risk of losing their investment.

• profit.

• getting start-up funds.

• being fully responsible for the business

The description of the business's media plan is included in the

• marketing plan

• product and service plan.

• executive summary

There are three (3) main types of business organizations: sole proprietorships, partnerships, and corporations.

• True

• False

All of the following are disadvantages of forming a corporation except

• increased government regulation.

• limited liability.

• double taxation.

• difficult to start.

A business may stop manufacturing because

• of government taxes.

• it can't keep up with demand.

• there's a decrease in demand.

The main reason people become entrepreneurs is so they can be creative.

• True

• False