Business Concepts Quiz

A form of corporate ownership giving one vote per share for stockholders.

• Preferred stock

• Common stock

• Labor union

• Crowdfunding

Situation in which a firm legally ceases to exist when an owner dies, quits, or sells the business.

• Limited life

• Crowdfunding

• Incubator

• Venture capitalist

All partners are equally responsible for management and debts.

• General partnership

• Sole proprietorship

• Multinationals

• Corporations

Using a social network to appeal to potential investors.

• Crowdfunding

• Credit union

• Labor union

• Horizontal merger

Combination of firms producing the same kind of product.

• Horizontal merger

• Venture capitalist

• Incubator

• Limited life

Place where entrepreneurs can receive the training and possibly financing to start a successful business.

• Incubator

• Crowdfunding

• Labor union

• Preferred stock

Lender of investment funds to a new or unproven business in exchange for partial ownership.

• Venture capitalist

• General partnership

• Credit union

• Common stock

A business’s net income is defined as _______.

• total income before expenses

• total income after expenses

• total dividends paid to investors

• total income before sales

What is the main purpose of incubators?

• helping entrepreneurs think of new business ideas

• providing entrepreneurs with training to be successful

• helping entrepreneurs find investors

• both A and C

A venture capitalist’s main goal is usually to _______.

• help individuals achieve their dreams

• help their communities

• get a good return on an investment

• teach entrepreneurs managerial skills