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WorksheetsBusiness and Management Unit 2 Review
Total questions: 49
Worksheet time: 31mins
This is the process of starting, organizing, managing, and assuming the risk and and responsibility is called.....
capitalism
entrepreneurship
accounting
management
In the United States, on average, how many small businesses (out of 5) succeed past 5 years?
1
2
3
4
5
True or False: To be an entrepreneur, you have to create or invent a new product
True
False
True or False: Large businesses are more likely to meet the needs of customers than small businesses are
True
False
True or False: Location of the business is incredibly important in ensuring success.
True
False
True or False: Business owners never revise their business plans.
True
False
True or False: Business plans are often used to secure financing for the start of the business.
True
False
True or False: All managers are equally skilled in time and people management.
True
False
True or False: Everyone has the same ideas when it comes to ethical behavior.
True
False
True or False: All members of an organization need to have ethical behavior.
True
False
True or False: Marketing is only directed at final consumers.
True
False
How much do marketing activities often cost?
Less than 25% of the selling price
Around 50% of the selling price
More than 75% of the selling price
Around 90% of the selling price
True or False: Employees are more likely to show up to work if they feel engaged in their work.
True
False
True or False: Promotion is most effective if it matches your target market.
True
False
True or False: Revenue and Profit are the same thing
True
False
To prepare a budget, businesses need to:
identify and predict the amount of each source of revenue AND each type of expense.
identify and predict only revenues.
identify and predict only expenses.
Check the items included on the Income Statement:
Expenses
Revenues
Assets
Liabilities
Owner's Equity
Check the items included on the Balance Sheet:
Expenses
Revenues
Assets
Liabilities
Owner's Equity
What is the definition of owner's equity?
The business owner's financial right to the assets
Assets - Liabilities
Both of the above
True or False: Businesses pay payroll taxes of income tax, social security, Medicare, and unemployment taxes.
True
False
True or False: You need to live in a major city in order to be a successful entrepreneur.
True
False
True or False: Entrepreneurs need to be ready to take risks.
True
False
True or False: Most entrepreneurs start their first business while in their teens
True
False
Where do entrepreneurs get most of their startup money?
Their own money or family's money
Releasing stock
Bank loans
Lines of credit
What percent of total businesses in the US are small businesses?
Less than 10%
50%
70%
more than 90%
Small businesses have less than this number of employees?
50
100
500
1000
True or False: A good practice for small business owners is to directly ask their customers about their likes and dislikes.
True
False
True or False: Successful business owners don't bother making relationships with other professionals.
True
False
Check all of the things new business owners should gather information about before they open their doors:
Weather
Competitors
Government Regulation
Customers
What is the firs step in developing a business plan?
Marketing plan
Financing
Gather and review information
Develop your exit strategy
What does HR (human resources) do for a business?
Everything involving obtaining and compensating employees
Measure how well the business is meeting its mission statement
Monitors sales of the product
None of the above
What do executives do?
plan and control activities
implement and staff activities
organize and implement activities
plan and organize activities
True or False: Managers need a high level of education in order to be successful
True
False
True or False: When evaluating if something is ethical, you need to look at both the action itself and the consequence (result)
True
False
What describes the reason a business exists and what they want to accomplish?
The governing board
The marketing plan
The business plan
The mission statement
Promotion includes which of the following:
advertising
sales or special deals
packaging
price
What are the four p's of marketing (the marketing mix?):
True or False: Marketing ensures that the product gets produced
True
False
Which describes the selling price?
product cost + operating expenses + profit
product cost + profit
product cost + operating expenses
operating expenses + profit
What is gross margin?
revenue - operating expenses
a reduction from the original selling price
all expenses
the difference between selling price and product costs
True or False: Advertising is a form of mass promotion.
True
False
A business only makes a profit when...
revenues outweigh expenses
expenses outweigh revenue
expenses decrease and revenue decreases
Type out the accounting equation:
What does a depreciation record show?
How the value of an asset has increased over time
How the value of an asset has decreased over time
How liabilities have decreased over time
What is an asset?
Something you own
Money you owe to someone else
Your financial claim to the business
Which is a short-term asset?
land
inventory
buildings
equipment
Which is a liability?
office equipment
car
inventory
bank loans
Check all of the Selling, General, and Administrative costs:
Inventory purchases
Rent
Salaries
Purchase of supplies in order to open the business
What is a startup cost?
A necessary cost before you start your business
The cost of your inventory
Salaries
