According to Shepherd, Shanley, and Porter, which of the following is a small business
supra-strategy?
A. Altruism
B. Single-mindedness
C. Scope savings
D. Technology
Which of the following is a difference between a small business and a high-growth
venture?
A. For a small business, the preferred funding source is other people’s money, whereas
for a high-growth venture, it is the owner’s own money.
B. For a small business, the personal control preference is to involve others, whereas a
high-growth venture prefers to retain autonomy.
C. A small business focuses on effectiveness, whereas a high-growth venture focuses on
efficiency.
D. A small business grows when necessary, whereas a high-growth venture grows when
possible.
Which of the following is true of employee leasing?
A. It is the function of publishing newsletters or posting openings online or at the
meeting locations of associations.
B. It is the process of using independent contractors who provide specialized business
services or support from a distance through different modes of communication.
C. It is the idea of having employees who work for another company that handles
recruiting, training, compensation, and government filings.
D. It is the process of offering temporary jobs to students arranged through the
university.
The decision rule for an NPV analysis is to accept:
A. the smallest negative NPV.
B. the largest negative NPV.
C. the NPV closest to zero.
D. the largest positive NPV.
Which among the following steps in a negotiation process is considered to be the most
difficult?
A. Prepare
B. Position
C. Propose
D. Pounce
To help and prepare small businesses to handle crisis they have been recommended to
avoid:
A. planning to stay in business.
B. protecting their investment.
C. talking about the crisis to their people.
D. planning only after the crisis has occurred.
Which of the following is true with regard to home retail?
A. The disadvantages of home businesses include the slow speed and difficulty of setup.
B. The ability to do the work away from home and employer minimizes potential
conflicts.
C. The advantage of home retail is that it provides a high steady income.
D. The high cost of getting started is one of the drawbacks of home retail.
People who receive a promotional impression and who give some thought to buying the
product are referred to as _____.
A. sales leads
B. qualified leads
C. prospects
D. target segments
_____ is a choice LLCs can make on their tax returns to be taxed as a corporation or a
partnership.
A. Check the box taxation
B. Double taxation
C. Pass through taxation
D. Single taxation
The _____ of a firm refers to the forces, institutions and people (i.e., the rest of the
world) outside its boundary.
A. microenvironment
B. organizational climate
C. organizational organogram
D. external environment
Jacob has started a graphic design company called Interon Graphics. As Interon
Graphics moves into the growth phase, which of following would be Jacob’s dominant
financial management need?
A. Obtaining increasing amounts of cash inflows
B. Establishing internal control over assets
C. Conserving the money that the business has
D. Clearing all debts
Delays in the movement of money among depositors and banks is referred to as a(n)
_____.
A. overdraft
B. ledger balance
C. float
D. charge back
Fidelity bonds help to:
A. protect against losses from crimes committed against the business.
B. cover losses incurred due to governmental audits.
C. cover losses incurred by the employer due to employee embezzlement.
D. cover abnormal losses from credit customers not paying their bills.
Which of the following accounting functions focuses the most on automatically
calculating and accumulating depreciation?
A. Credit card sales
B. Fixed asset accounting
C. Payroll records
D. Accounts receivable records
Neil places an advertisement for his pastry shop, Neil’s Pastries, in the local newspaper.
He includes his phone number, website, e-mail address, and postal address in the
advertisement so that prospective customers have the option to contact him in the way
they feel most comfortable. Neil is a _____.
A. guerilla marketer
B. multichannel marketer
C. telemarketer
D. direct seller
_____ is provided by state and local governments, primarily to encourage specific
activities that are expected to improve the blighted areas or provide additional
employment.
A. Debt capital
B. Venture investment
C. Tax abatement
D. Equity capital