Optimum price is the lowest price that will produce the desired level of sales in an
intended market.
Business plans are essential for external legitimacy and internal understanding.
Knowing one’s personal worth is not important when starting a business.
The more debt that is included in the capital mix, the higher is the weighted average
cost.
The resource maturity stage is characterized by a stable level of sales and profits over
several years.
As a firm establishes a track record for performance, that performance, along with the
goods or services it creates become key elements of the firm’s and entrepreneur’s
identity.
Payroll records ensure that employment taxes are kept current.
Clients and attorneys start with a natural conflict of interest related to money.
Small businesses high in social capital are less trusted when problems occur.
Which of the following questions in LaRue Hosmer’s approach to ethical decision
making best reflects a decision maker’s real or presumed obligations to people and
institutions in a firm and in its task environment?
A. What does the decision maker (or the firm) owe others?
B. What do others owe the decision maker (or the firm)?
C. Who will be hurt (and how much) as a consequence of the decision?
D. Who will benefit (and how much) as a consequence of the decision?
A(n) _____ is a legal obligation to pay money in the future.
A. equity capital
B. stake
C. debt
D. gift
Which of the following is a characteristic feature of brochures and flyers?
A. They contain the annual balance sheet of the company.
B. They include stories of customers whose problems were solved.
C. They give more information about a firm and its products than business cards.
D. They provide word-of-mouth advertising.
Which of the following is an advantage of picking customer-desired benefits that a
business owner’s competitors do not offer?
A. They results in lower pricing.
B. They help business owners to set realistic goals.
C. They help a business owner in identifying the magic number.
D. They make the firm stand out from the competition.
_____ refers to the sum total of forces outside of an entrepreneur and a firm.
A. Environment
B. Organizational climate
C. Corporate governance
D. Social capital
The two fastest growing minority groups that represent the largest segments of minority
business owners are:
A. Hispanics and African Americans.
B. Hispanics and Pacific Islanders.
C. Asians and African Americans.
D. Asians and Pacific Islanders.
Using paradoxes such as using stimulants to calm hyperactive children, to challenge old
ways of thinking, refers to which of the following cues of the SCAMPER tool?
A. Minimize
B. Saturate
C. Restitute
D. Rearrange
Anderson and Anderson is a law firm that has been handed a job to take care of patent
issues for Gantar Labs. Anderson and Anderson charges a fixed amount for
patent-related cases. Which of the following types of fees will Gantar be paying
Anderson and Anderson?
A. Hourly fees
B. Flat fees
C. Retainers
D. Contingency fees
Which of the following is true of co-insurance?
A. It is an amount of loss that is specifically excluded by the insurance contract.
B. It requires that an owner carry insurance equal to a stated minimum percentage of
the market value of their property.
C. It results in the decrease of the amount of premium that the insurance company
collects from businesses.
D. It is the amount of an asset for which a company will write an insurance policy.
Which of the following is true with regard to minimalized business professionalization?
A. The entrepreneur does nearly everything in the simplest way possible.
B. The entrepreneur is passionate about one or two of the key business functions.
C. The entrepreneur meets or exceeds the industry’s standards.
D. The entrepreneur brings the highest levels of trust among customers.
The price at which goods and services are bought and sold between willing sellers and
buyers in an arm’s-length transaction is called a _____.
A. fair market value
B. disposal value
C. replacement value
D. book value
Differentiate between the vision statement and the mission statement of a business plan
presentation.
How is success measured with respect to the quadruple bottom line?
Discuss lines of communication and lines of appeal in human resources of small
businesses.
Briefly discuss the different types of budgets that make up the master budget.
In the case of a family business, how can family members avoid intrafamily strife?
Elucidate the relationship between innovation and entrepreneurship.
Define feasibility. What are the major sections of a feasibility study?
What are the two major types of leases? Discuss the advantages and disadvantages of
leasing.
What are the different sources of ideas for new businesses?
Explain the key factors that an influential person looks for in a business plan
presentation.