ESB 1.1

What is Entrepreneurship?

• Marketing and selling products

• Setting up a business with the aim to make a profit.

• Acquiring leadership and managerial skills

• Quickly advancing in positions within a corporation

Select the businesses that are classified as Business to Business (B2B).

• Wholesale flooring distributor

• Chain of local grocery stores

• Purchases requiring a tax exemption certificate

• Motorcycle repair shop

Select the Businesses that are Business to consumer (B2C)

• Wholesale flooring distributer

• Purchases requiring tax exemption

• Chain of local grocery stores

• Motorcycle repair shop

You need to create a legal structure for your small business. You would like some benefits enjoyed by large corporations, but do not want to be taxed twice. You do not plan to sell stock and you want to personally be protected from business liabilities.

Which legal structure should you set up for your business?

• Sole Proprietorship

• C-Corporation

• Limited Liability Company

• S-Corporation

For each statement about owners of equity in a business, select the TRUE answers

• Founders own equity

• A Partner owns equity

• All stakeholders own equity.

• Contractors own equity.

An example of ________ compensation is paying field laborers for the amount of fruit they pick.

• Piece work

• salary

• commission

• hourly

A ________ employee receives a set amount of pay each month without overtime compensation for extra hours worked.

• Piece work

• Salary

• Hourly

• Commission

Employees most affected by minimum wage laws are compensated ________.

• Piece Work

• Salary

• Hourly

• Commission

An employee who is paid a percentage of a sale is paid by ________.

• Commission

• Hourly

• Salary

• Piece Work

In General, which 2 characteristics define a "small business"? (Choose 2)

• No more than $200,000 in sales

• Fewer than 1500 employees

• Less than $35.5 Million revenue

• Non-Profit

• Between 500 and 2500 employees