What does a post-money valuation include that a pre-money valuation does not?
a. market value
b. replacement value
c. excess earnings
d. venture capital investment
Production requirements are figured by subtracting the period’s beginning inventory
from
a. inventory from the previous period.
b. inventory needed for that period.
c. both of the above.
d. fixed costs.
Which of the following designations is not synonymous with social entrepreneur?
a. social innovator
b. public entrepreneur
c. civic entrepreneur
d. social impersonator
When securing a bank loan an entrepreneur should be prepared to answer which of the
following questions except?
a. When do you need it?
b. How do you need it?
c. What do you need it for?
d. What is the price of your product?
Many new ventures find that debt financing is
a. necessary.
b. a waste of time.
c. not an important consideration.
d. their major source of funds.
A __________ is a statement of ethical practices or guidelines to which an enterprise
adheres.
a. code of conduct
b. code of ethics
c. code of honor
d. code of silence
The basic challenge for social enterprise is addressing the obligations of business to
a. future generations
b. financial performance
c. different industries
d. society
When using the graphic approach to break-even analysis, the entrepreneur must plot
which of the following?
a. total revenue and total costs
b. total expenses and total revenue
c. total costs and total income
d. total income and total expenses
Product design, reliability, and safety are all examples of
a. technical feasibility
b. market feasibility
c. assessment of the entrepreneurial profile
d. a good product
Which of the following is not an example of recognizing relationships in creativity?
a. adding fruit juice to soft drinks to make Slice
b. Introducing Sierra Mist to the market to compete with Sprite
c. combining combustion engine technology with the wheel to create the automobile
d. using a 330 pound defensive football player as a running back and wide receiver
If an entrepreneur believes in himself/herself and that their accomplishments and
setbacks are within their own control, they possess a (n) _____.
a. confidence level higher than most entrepreneurs
b. internal locus of control
c. cockiness level too high to be an entrepreneur
d. high energy level
Which of the following is part of the marketing segment?
a. plans for specific TV ads
b. the competitive analysis
c. plans for gaining shelf space
d. entry barriers
Which of the following economists wrote about entrepreneurship and its impact on
economic development?
a. Richard Dailey
b. Joseph Schumpeter
c. Paul Samuelson
d. Robert McConnell
Which of the following is not associated with an entrepreneur seeking feedback?
a. entrepreneurs want to belittle their competition
b. entrepreneurs seek to learn from their competitors
c. entrepreneurs want to improve
d. entrepreneurs have a strong desire to know how well they are doing
An adjusted tangible book value method includes
a. goodwill.
b. patents.
c. common price.
d. both a and b.
Overall market understanding rather than a time-consuming focus on market niches is
sufficient for an evaluation.
The traditional accounting equation is: assets + liabilities = owner’s equity.
The maverick entrepreneur who avoids reaching out and finding help is a myth of the
past.
Recognition of entrepreneurs dates back to the French economist Richard Cantillon.
Entrepreneurs are rarely able to set up a business without investment funds or bank
loans.
There is a great abundance of reliable data concerning the start-up, performance, and
failure of new ventures.
The Greek thinker, Chilon, felt that a merchant does better to take a loss than to make a
dishonest profit.
After delivering a pitch, it is not acceptable to question venture capitalists who turn
down a funding opportunity.
Are formal firms the only source of venture capital?