BOSS 12 chapter 6

A more in-depth business plan that provides an analysis of the critical factors that will determine the success or failure of the business is called a(n)--

• prospectus

• summary plan

• comprehensive plan

• executive summary

Most investors are more __________ because they realize what it takes to make money.

• market-oriented

• people-oriented

• product-oriented

• quality-oriented

If you are asked to describe how will you entice customers to make the change to your product or service and to continue using it, which section of a business plan would you address it in?

• Financial

• Operations and development

• Management

• Marketing

According to John Mullins, the author of The New Business Road Test, all of these key elements should be in every business plan EXCEPT:

• a logical statement of a problem and its solution

• a significant amount of cold, hard evidence

• candor about the risks, gaps, and assumptions that might be proved wrong

• personal life descriptors of the entrepreneur

The new venture's facilities and location are often discussed in the operations and development plan. true or false

All of these elements must be evident from the feasibility analysis before you move on to the business plan EXCEPT:

• strong market potential

• an attractive industry

• agreeable banker

• the right individual or team to execute the plan

The executive summary should include all of these subsections EXCEPT:

• an explanation of the business concept

• products and/or service plan

• an industry overview

• a description of the opportunity

________ projecting the company's sales, costs, and profits are usually contained in the financial plan.

• Pro forma statements

• Industry statistics

• Management capabilities

• Marketing potential of the competition

Writing a business plan should be thought of as the means to an end. true or false

Expenses and costs that are useful in making projections are frequently classified as all of these EXCEPT:

• fixed costs

• variable costs

• semi-variable costs

• floating costs