Barber Chapter 21 Test

If you reach a point in your life when you are ready to become your own boss, you have two options for going into business for yourself; ________ or renting a booth in an existing shop or salon.

• working part time
• owning your own barbershop
• being an apprentice
• becoming a salaried employee

A _________ is sweeping picture of the long term goals for the business, what it is to become, and what it will look like when it gets there.

• vision statement
• mission statement
• business timeline
• brand identity

When creating a business timeline, what is the time period where additional locations are added or the scope of a successful business is expanded?

• Year 1
• Years 2 to 5
• Years 5 to 10
• Years 11 to 20

When creating a business timeline, what is the time period where you are tending to the business, its clientele, and its employees?

• Year 1
• Years 2 to 5
• Years 5 to 10
• Years 11 to 20

Generally speaking, a business plan is more of an agreement with ________.

• your stakeholders
• your investors
• the bank if you take out a loan
• yourself

The features associated with a good location include ______.

• good visability
• direct competition nearby
• scenery
• proximity to residential neighborhoods

The owner receives all profits in a _______.

• publicly held company
• limited liability company
• partnership
• sole proprietorship

A partnership is when two or more people share ownership, ______.

• but one person is solely responsible for any losses
• although not necessarily equally
• and can raise capital by issuing stock certificates or shares
• and stockholders invest in the company

In a corporation, stockholders _______.

• are legally responsible for all business losses
• participate in day to day decision making
• have an ownership interest in the company
• None of the answers are correct

A _____ is a form of business organization where an already successful firm enters into a continuing contractual relationship with other businesses operating under the original firm's trade name in exchange for a fee.

• S Corporation
• franchise
• LLC
• non-proft