Entrepreneurship Semester 1 Review

Which of the following is a good resource when preparing your business plan?

• the local chamber of commerce

• professional business consultant

• trade association

• all of the above

1. People who own, operate, and take the risk of a business venture are called

• employees

• executives

• entrepreneurs

• managers

1. Which of the following is included in the introductory elements of a business plan?

• marketing plan

• financial statements

• ownership and legal structure

• executive summary

Within the main body of the business plan, which section contains information about the ownership structure of the business?

• the introduction section

• the marketing section

• the operations section

• the financial management section

1. Which of the following is NOT one of the main purposes of a business plan?

• it sets specific business objectives

• it describes the backgrounds and experience of the business’s leadership team

• it includes sales goals for at least 10–12 years into the future

• it explains the idea behind a business

1. A business plan

• is useful once your business is operational but is not much help during the startup phase

• is not usually needed to secure financing for your business

• can serve as a tool for managing your business once it is up and running

• all of the above

1. _____ exists when there is only one provider of a product or service.

• Perfect competition

• Monopolistic competition

• An oligopoly

• A monopoly

Individuals and businesses decide what, how, and for whom goods and services are produced in a

• market economy

• complex economy

• traditional economy

• command economy

1. The private ownership of resources by individuals rather than the government is called

• objectivism

• socialism

• capitalism

• communism

1. Which of the following would be considered a capital resource?

• the oil used to run machinery

• employees who work on an assembly line

• executives who decide how to operate a business

• a truck used to make deliveries