Chapter 5 Business Plan (McGraw Hill- Intro to Business)

Knowing about business only benefits you as an employee, not as a consumer.

• True

• False

A small business, as defined by the SBA, serves a limited geographic area and employs no more than 100 people.

• True

• False

Indicate whether the statement is true or false. A virtual business acts like a business, but is not a real business.

• True

• False

Indicate whether the statement is true or false. According to American City Business Journals, small businesses that use the Internet have grown more than 45 percent faster than those that do not.

• True

• False

Indicate whether the statement is true or false. The main reason people become entrepreneurs is to have the opportunity to be creative.

• True

• False

Indicate whether the statement is true or false. Many successful entrepreneurs work in a related business before starting their own company.

• True

• False

Indicate whether the statement is true or false. Before you decide to start a particular business, you need to do market research to see if there is a demand for your product or service.

• True

• False

Indicate whether the statement is true or false. There are 10 essential parts of a business plan.

• True

• False

Indicate whether the statement is true or false. The executive summary of the business plan should be no more than two pages and should include the most important information from each section of the plan.

• True

• False

Indicate whether the statement is true or false. The vision and mission statements in the business plan state the guiding principles by which a business functions.

• True

• False