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Trust is the foundation on which the long-term customer relationships that are so crucial
to the Web success are built.
Most entrepreneurs have invested the time to develop a sound business plan.
Most franchisors provide extensive financial help such as loans and low-rate financing
for their franchises.
Accounts receivable are rarely worth face value and should be "aged" when evaluating
a company's assets.
Click-through rate measures the proportion of people who see an online ad and actually
click on it to reach the company's Web site.
The most blatant and most potentially damaging form of sexual harassment is pro bono.
Virus detection software, intrusion detection software, and a firewall are tools that
minimize the likelihood of invasion by hackers and eliminate your responsibility for
damages they inflict.
Because the entrepreneur is the driving force behind a business idea, he or she should
also be the driving force behind the business plan.
A ________ interview is where the interviewer gives candidates a typical job-related
situation to assess how they respond.
A) situational
B) puzzle
C) circumstantial
D) exploratory
Refer to the following information:
Which of the following statements is most likely false?
A) Smith relies heavily on inventory to meet its debt obligations.
B) Smith is sufficiently capitalized.
C) Smith's sales are inadequate.
D) Smith's prices may be too high and/or the inventory too 'stale."
An important source of credit information that collects information on small businesses
that other reporting services ignore is ________.
A) National Association of Credit Management
B) TRW
C) Dun & Bradstreet
D) National Association of Small Business Owners
Which stage of the creative process requires one to develop a solid understanding of the
problem or decision?
A) Investigation
B) Preparation
C) Illumination
D) Verification
John has come to you for advice on starting a business venture. He wants to know the
best way to gain the experience he'll need. You suggest that he ________.
A) read a small business book
B) seek knowledge and experience in the field he wishes to enter
C) determine his weaknesses and return to school for a term or two
D) just jump in and learn as he goes
Approximately ________ percent of Web users speak English.
A) 38
B) 27
C) 37
D) 29
Which of the following is not an asset-based financing technique?
A) Discounting accounts receivable
B) Inventory financing
C) Term loan
D) None of the above
A ________ partnership is composed of at least one general partner and at lease one
limited partner.
A) general
B) limited
C) silent
D) passive
Which stage of the creative process involves viewing the similarities and differences in
the information collected?
A) Transformation
B) Incubation
C) Illumination
D) Verification
The focus of a small company's marketing plan should be on ________.
A) preparing accurate financial forecasts
B) the customer
C) describing how its products or services are superior to those of competitors
D) the competition
Experts estimate that nearly ________ percent of the world's online population has used
the Internet to make a purchase.
A) 46
B) 66
C) 84
D) 96
The typical start-up in the United States needs a launch capital of ________.
A) $10,000
B) $80,000
C) $100,000
D) $50,000
The first place an entrepreneur should look for startup capital is ________.
A) a bank
B) a venture capitalist
C) the Small Business Administration
D) his own savings
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