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WorksheetsIntro to Business- Chapter 5 Test Prep
Total questions: 58
Worksheet time: 22mins
A SMALL BUSINESS, AS DEFINED BY THE SBA, SERVES A LIMITED GEOGRAPHIC AREA AND EMPLOYES NO MORE THAN 100 PEOPLE
TRUE
FALSE
SBA STANDS FOR--
SMALL BUSINESS ASSOCIATION
SMART BUSINES ADMINISTRATION
SMALL BUSINESS ADMNISTRATION
SMALL BUSINESS ACCORD
KNOWING ABOUT BUSINESS ONLY BENEFITS YOU AS AN EMPLOYEE--NOT AS A CONSUMER.
FALSE
TRUE
There are 10 essential parts of a business plan
True
False
According to the American City Business Journals, small businesses that use the internet have grown 45% faster than those that do not
True
False
Many successful entrepreneurs work in a related business before starting their own company
True
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
False
True
The main reason people become entrepreneurs is to have the opportunity to be creative
True
False
The vision and mission statements in the business plan states the guiding principles by which a business functions
True
False
A virtual business acts like a business; but is not a real business
False
True
The executive summary of the business plan should be no more than two pages and should include the most important information from each page of the plan
True
False
A vision statement...
expresses the specific aspirations of the company
establishes the scope and purposes of the company
includes the major goals that the company will try to reach
explains why the venture will succeed
All of the following are examples of an industry except
medical supply companies
financial service firms
auto mechanics
food service businesses
All of the following are recommended traits for a career in entrepreneurship except being
enthusiastic
cost-conscious
a risk-taker
goal-oriented
One of the biggest obstacles in starting a business is
Obtaining financing
having a good idea
being good at something
accepting responsibility
A written description of a business venture that describes all aspects of the business is called
a company charter
a company policy
a business plan
an executive summary
The company description section of a business plan helps investors understand
The size of the business
The scope of the business
The type of business
All of the above
A business plan is used by
potential investors to see if they want to invest in the business
top management involved in the start-up of a new business
the entrepreneur to keep focused on the goals of the business
All of the above
A (a) is owned and run by two or more people
Unlike people who run partnerships and corporations, (a) do not have to consult with others before making a decision
A (a) is a new business undertaking that involves risk
To determine if there is a demand for your product or service, you must do
(a)
About four out of five businesses fail in the first_____ years
Ten
Five
One
Two
In a business plan, the description of the business's media plan is included in the
Marketing plan
product and service plan
vision statement
competitive analysis
A virtual business is one that
Is almost a business
Operates on street corners only
Operates on the internet
Does not use money in any transactions
Entrepreneurship is the process of
Recognizing a business opportunity
Using market research to determine if there is a market for a product or service
Gathering the resources needed to go into business
All of the above
A new business undertaking that involves risk is called a
Venture
Small business
Virtual business
Dot-com company
In a business plan, research about the business's customers is included in the
Competitive analysis
marketing plan
market analysis
operational plan
A brief account of the key points contained in a business plan is the
executive summary
company description
vision statement
mission statement
Most U.S. businesses are
virtual businesses
successful
corporations
sole proprietorship
A business that operates on the internet
Significant business
Small business
Venture business
Virtual business
A written description of a new business venture that describes all aspects of the business
Executive Plan
Business Plan
Financial Plan
Concept Plan
An independently owned business that usually has the owner as its manager
Small Business
Large Business
Retail Business
Not really classified as a business
A new business undertaking that involves risk
Virtual Business
Risky Business
Venture
Small Business
A statement that expresses the specific aspirations of a company
Business Plan
Venture Statement
Mission Plan
Mission Statement
A person who organizes, manages, and assumes the risks of starting and operating a business
a business partner
a CEO
entrepreneur
is the boss
A statement that establishes the scope and purpose of a company and reflects its values and beliefs
(a)
A brief account of the key points contained in a business plan
(a)
Three of these indicate rewards for starting an entrepreneurship. Which one is not a reward?
Being the boss
Doing what you enjoy
The opportunity to not create
Creating your own schedule
There are a list of questions to include in your checklist for starting a venture. What is the most import question:
(a)
Do you need to know how many people it will take to run your business in your venture plan?
YES
NO
MAYBE
Are the financial aspects of how much money you will need to start a business important?
NO
Maybe
YES
What is true of a long-term investment?
A "long term" is for less than 2 years
The investment includes a savings account
The value of the investment fluctuates over time
"Long-term investing" means "to retire."
Who would NOT be considered an entrepreneur?
a doctor who starts own practice
a doctor who is employed by a hospital
a doctor who writes a book in his spare time
a doctor who works as a consultant
Which would most likely describe a successful entrepreneur?
lazy
shy
bossy
self-starter
Which is NOT a small business?
a babysitting team
a web store
a fast food chain
a delivery service consisting of ten teens with bikes
Which is often especially important to a small business?
creativity
digitizing
electronics
accounting
What is a corporation?
a business owned by one person
a person owned by two people
a business bought out by someone new
a business with many owners
Which is NOT a reward of entrepreneurship?
being the boss
risking capital resources
doing what you enjoy
being creative
Why do people have trouble getting money to start their own businesses?
Banks don't give loans to entrepreneurs
Banks give more money to corporations
Banks are concerned that they won't be repaid
Banks want to own the entrepreneur's business
What is the most important reason many small businesses fail?
Entrepreneurs feel insecure
Entrepreneurs sometimes don't start with good financial planning
Entrepreneurs work alone too often
Entrepreneurs get bought out by bigger companies
What is the immediate future of virtual or online businesses?
More and more are coming on the scene
They are on the decline
No one can predict what will happen next
People aren't as interested in starting them now
What is the most important reason for having a business plan?
to do market research
to help you focus on how to succeed in your new venture
to make a checklist
to find out what to produce in your business
What is a characteristic of the executive summary in a business plan.
It contains details
It shares how you will fill in any gaps in expertise
It tells the most important points of the business plan
I describes your service plan
What does a mission statement do?
describes the company
tells your business concept
reflects the purpose of the company
tells the major goals of a business
What other piece of the business plan is related to the market analysis?
industry review
mission statement
marketing plan
competitive analysis
Which part of a business plan describes management an tells who will run the firm?
operational
organizational
financial
growth
Who is the best business teacher at Duncan High School
Mrs. Melton
Mrs. Melton
Mrs. Melton
Mrs. Melton
