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ESB Cert Practice

Total questions: 10

Worksheet time: 6mins

Name
Class
Date
1.

What is entrepreneurship?

a)

Marketing and selling products.

b)

Setting up a business with the aim to make a profit.

c)

Acquiring leadership and managerial skills.

d)

Quickly advancing in positions within a corporation.

2.

You need to create a legal structure for your small business. You would like some of the benefits enjoyed by larger corporations, but do not want to be taxed twice. You have four partners who will be shareholders. None of you plan to sell your ownership shares to the public, but do want to be protected from business liabilities. Which legal structure should you set up for your business?

a)

Sole Proprietorship

b)

Limited Liability Company

c)

C-Corporation

d)

S-Corporation

3.

What is the correct order of the stages of the business life cycle?

a)

Existence, Success, Takeoff, Maturity, Survival of the Fittest

b)

Success, Existence, Takeoff, Maturity, Survival of the Fittest

c)

Takeoff, Existence, Success, Survival of the Fittest, Maturity

d)

Existence, Survival of the Fittest, Success, Takeoff, Maturity

4.

Which of the following are elements of the Design Thinking process?

a)

Empathize

b)

Ideate

c)

Prototype

d)

Test

5.

Which three elements are required to have a Trade Secret? (Choose 3)

a)

Subject to reasonable efforts to maintain its secrecy

b)

Others cannot legitimately obtain the information

c)

Information has economic value not generally known

d)

must be a service

6.

Which two documents summarize the business plan of a company?

a)

Pitch Deck

b)

Marketing Plan

c)

Lean Canvas

d)

Business Plan

7.

Which types of sales channels sell primarily to businesses? (Choose 2)

a)

Direct-to-consumer

b)

B2B

c)

Wholesale

d)

Retail

8.

A rancher is preparing to retire. He is considering selling half of his land and giving the other half to his children. He hears that development for a ski resort was just approved on land adjacent to his property.

Which viable business opportunity does the retiring rancher foresee?

a)

An increase in land value

b)

A decrease in local home sales

c)

An increase in cattle sales

d)

A decrease in land value

9.

In general, which two characteristics define a small business? (Choose 2)

a)

No more than $200,000 in sales

b)

Less than $35.5 million revenue

c)

Non-profit

d)

Fewer than 1,500 employees

10.

What is the role of a CFO?

a)

The highest-ranking employee in the company; reports to the board of directors.

b)

Creates budgets, analyzes financial data, and forecasts company profits.

c)

Develops policies and structures to protect company data.

d)

Oversees the day-to-day administrative functions of a business; second in command.