WorksheetsDECA - Entrepreneurship Exam // Practice 2
Total questions: 20
Worksheet time: 10mins
What is the disadvantage of brainstorming ideas on your own?
A. Absence of criticism from others
B. Less flexibility
C. Insufficient space
D. Lack of exposure to others' viewpoints
Costs of sales for a new manufacturing venture typically include
A. raw materials, equipment, and product inventory.
B. internet access, attorney fees, and sales lead lists.
C. trade show attendance, product inventory, and internet access.
D. trade show attendance, raw materials, and equipment.
Which of the following is an inexpensive method for entrepreneurs to collect information during concept development:
A. Conducting an observational study
B. Researching similar products
C. Creating a product prototype
D. Introducing the product to a test market
Rae hired engineers to develop her new robotic coffee maker. Before the product is released, how can Rae keep the engineers from sharing her idea with others?
A. Copyright
B. Trademarks
C. Nondisclosure agreements
D. Patents
Business process design contributes to the standardization of work tasks by
A. relying on the experience of veteran employees to ensure that defects are minimized.
B. encouraging employees to complete their tasks based on their specific strengths.
C. establishing best practices and communicating them throughout the organization.
D. inspecting the quality of the final product and locating issues through the process of elimination.
Although hiring a highly skilled employee is an added expense, a business owner benefits because the employee's activities increase the firm's overall productivity based on their
A. inability.
B. self-control.
C. expertise.
D. attitude.
Bethany wants to make sure she is making informed, intelligent decisions for her entrepreneurial venture. Bethany should
A. turn the business over to someone else.
B. form and consult an advisory board.
C. hire an assistant.
D. become a business consultant.
Looking at problems from various points of view helps a small-business owner develop
A. practical arguments.
B. unpredictable results.
C. creative solutions.
D. unnecessary conflicts.
A car company has decided to invest less in its successful pickup truck and to use those funds instead on the development of its new hybrid vehicle. This is an example of
A. a harvest strategy.
B. risk mitigation.
C. a marketing plan.
D. the discovery process.
Which section of a feasibility study may not be necessary if the venture doesn't require any significant changes in human resources:
A. Organizational
B. Technical
C. Market analysis
D. Financial
One of the most common ways for a business to obtain working capital is to apply for a __________ loan.
A. long-term
B. guaranteed
C. mortgage
D. short-term
A business borrowing startup money from a commercial bank is an example of
A. venture capital.
B. trade credit.
C. debt financing.
D. asset lending.
A business has $35,000 in cash and plans to purchase a $75,000 piece of equipment. How much financing does the business need to obtain if it intends to make a 15% down payment?
A. $59,300
B. $63,750
C. $55,150
D. $67,500
In which situation would a business pay a lower insurance premium:
A. Negotiates a security deposit of $2,000
B. Pays the premium in monthly installments
C. Purchases insurance from a private agent
D. Increases the deductible from $500 to $1,000
Last year, a business had sales of $63,500. A downturn in the economy is expected to reduce sales by 15% this year. Forecast sales for this year based on this prediction.
A. $73,025
B. $9,525
C. $53,975
D. $63,500
What is a business's debt ratio if it has $360,000 in total debt and $800,000 in total assets?
A. 45%
B. 43%
C. 40%
D. 46%
Business management would refer to the __________ budget before replacing an obsolete elevator system.
A. capital
B. income statement
C. cash
D. merchandising
Which of the following financial analysis methods is used to show the relationship of each component to the total within a single financial statement:
A. Horizontal analysis
B. Vertical analysis
C. Industry analysis
D. Fundamental analysis
Before a business owner decides to hire a new salesperson, they must first
A. consider the demand for the business's product.
B. obtain application forms from the government.
C. ask current employees to increase their workloads.
D. limit other employees' hours.
Which of the following is a question that an interviewer should ask a job applicant to obtain in depth information:
A. How long have you worked for your current employer?
B. When would you be available to start work?
C. What activities do you perform in your current job?
D. Do you have a college degree?
