Management Chapter 5

The largest number of US businesses have no employees other than the owner.

• True

• False

All businesses make products.

• True

• False

Non profit corporations do not have to pay corporate income taxes.

• True

• False

Only very large businesses can become corporations.

• True

• False

Many businesses fail in their first 5 years of business.

• True

• False

Most businesses use a functional organizational structure.

• True

• False

A span of control is a diagram that shows the structure of an organization.

• True

• False

About what percentage of US businesses employ more than 100 workers?

• less than 1%

• 5%

• 20%

• 35%

Every business performs all of the following activities EXCEPT

• maintaining business records

• manufacturing products

• raising capital

• buying goods and services

Business Activities start with

• service businesses

• producers

• intermediaries

• marketers