Question 1

Which of the following types of businesses is MOST common in the United States?

Accepted Answer

A)  Sole proprietorships 
B)  General partnerships 
C)  Cooperatives 
D)  Corporations 
E)  Limited partnerships 
A)  Sole proprietorships 
B)  General partnerships 
C)  Cooperatives 
D)  Corporations 
E)  Limited partnerships

Question 2

Which of the following occurs when an organization sells part of a business or operation to another corporation?

Accepted Answer

A)  Merger 
B)  Acquisition 
C)  Divestiture 
D)  Buy out 
E)  Spin off 
A)  Merger 
B)  Acquisition 
C)  Divestiture 
D)  Buy out 
E)  Spin off

Question 3

Many new businesses are started by people who have left big corporations.

Accepted Answer

A) True 
 B)False

Question 4

Why is it difficult to compare relative job growth for different-sized businesses?

Accepted Answer

A)  Sourcing up-to-date employment figures is difficult. 
B)  Many small businesses experience rapid unreported growth. 
C)  Spheres of influence overlap between the small and big business sectors. 
D)  Staff size of small businesses tends to change faster than staff size of big businesses. 
E)  It is hard to determine the cutoff point at which a small business becomes a large business. 
A)  Sourcing up-to-date employment figures is difficult. 
B)  Many small businesses experience rapid unreported growth. 
C)  Spheres of influence overlap between the small and big business sectors. 
D)  Staff size of small businesses tends to change faster than staff size of big businesses. 
E)  It is hard to determine the cutoff point at which a small business becomes a large business.

Question 5

Which of the following is federally licensed to borrow money from the Small Business Administration to invest in or lend to small businesses?

Accepted Answer

A)  SCORE 
B)  SBICs 
C)  SBDC 
D)  FDIC 
E)  SEC 
A)  SCORE 
B)  SBICs 
C)  SBDC 
D)  FDIC 
E)  SEC

Question 6

Which of the following describes an investor in a business who is liable for some of its debt, but has no active role in its operation?

Accepted Answer

A)  General partners 
B)  Unlimited partners 
C)  Master partners 
D)  Limited partners 
E)  Minority partners 
A)  General partners 
B)  Unlimited partners 
C)  Master partners 
D)  Limited partners 
E)  Minority partners

Question 7

What type of partner invests all funds in the organization but plays no role in its management?

Accepted Answer

A)  Limited partnership 
B)  General partner 
C)  Silent partner 
D)  Active partner 
E)  Master limited partnership 
A)  Limited partnership 
B)  General partner 
C)  Silent partner 
D)  Active partner 
E)  Master limited partnership

Question 8

What is created when a corporation creates a new operation with another firm?

Accepted Answer

A)  Divestiture 
B)  Spin-off 
C)  Joint venture 
D)  Merger 
E)  Acquisition 
A)  Divestiture 
B)  Spin-off 
C)  Joint venture 
D)  Merger 
E)  Acquisition

Question 9

By law, each general partner is liable for all debts incurred in the name of the partnership.

Accepted Answer

A) True 
 B)False

Question 10

Discuss why a business owner would form a limited partnership instead of a general partnership.

Accepted Answer

General partnerships are among the least

Question 11

What type of company has stock that is widely held and available for sale to the general public?

Accepted Answer

A)  Private corporation 
B)  Public corporation 
C)  General partnership 
D)  Limited liability corporation 
E)  Professional corporation 
A)  Private corporation 
B)  Public corporation 
C)  General partnership 
D)  Limited liability corporation 
E)  Professional corporation

Question 12

Who is responsible for the day-to-day management and overall performance of an organization?

Accepted Answer

A)  Officers 
B)  President 
C)  Chief Executive Officer 
D)  Board of Directors 
E)  Vice President 
A)  Officers 
B)  President 
C)  Chief Executive Officer 
D)  Board of Directors 
E)  Vice President

Question 13

Why do attitudes about entrepreneurship vary internationally?

Accepted Answer

A)  Decision making in big business can overlook local customs. 
B)  Attitudes towards risk-taking in business are culturally determined. 
C)  Consumer attitudes are influenced by economic cycles. 
D)  Foreign-owned companies can be unresponsive to local markets. 
E)  International business is creating a global village. 
A)  Decision making in big business can overlook local customs. 
B)  Attitudes towards risk-taking in business are culturally determined. 
C)  Consumer attitudes are influenced by economic cycles. 
D)  Foreign-owned companies can be unresponsive to local markets. 
E)  International business is creating a global village.

Question 14

In order to exert influence on corporate managers, groups can pool resources to buy huge blocks of stock. These groups are known as

Accepted Answer

A)  spin offs. 
B)  ESOPS. 
C)  joint ventures. 
D)  institutional investors. 
E)  strategic alliances. 
A)  spin offs. 
B)  ESOPS. 
C)  joint ventures. 
D)  institutional investors. 
E)  strategic alliances.

Question 15

The Small Business Administration (SBA)may consider a business with many employees to be small as long as it has low annual revenues.

Accepted Answer

A) True 
 B)False

Question 16

The Small Business Development Center provides micro loan programs for members.

Accepted Answer

A) True 
 B)False

Question 17

Which type of corporation spans national boundaries and is subject to regulation in multiple countries?

Accepted Answer

A)  Publicly held 
B)  Limited liability 
C)  Subchapter S 
D)  Professional 
E)  Multinational 
A)  Publicly held 
B)  Limited liability 
C)  Subchapter S 
D)  Professional 
E)  Multinational

Question 18

What is a major drawback of sole proprietorships?

Accepted Answer

A)  Short-term focus of shareholders 
B)  Work flexibility 
C)  Low start-up costs 
D)  Unlimited liability 
E)  Structured hours 
A)  Short-term focus of shareholders 
B)  Work flexibility 
C)  Low start-up costs 
D)  Unlimited liability 
E)  Structured hours

Question 19

What should competitors establish when collaborating on a project that might have mutual gain?

Accepted Answer

A)  Stock options 
B)  A new Board of Directors 
C)  A strategic alliance 
D)  Institutional investors 
E)  A spin-off 
A)  Stock options 
B)  A new Board of Directors 
C)  A strategic alliance 
D)  Institutional investors 
E)  A spin-off

Question 20

What type of corporation issues stock that is held by only a few people and not available to the public?

Accepted Answer

A)  Limited liability 
B)  Subchapter S 
C)  Public 
D)  Closely held 
E)  Professional 
A)  Limited liability 
B)  Subchapter S 
C)  Public 
D)  Closely held 
E)  Professional

Which of the following types of businesses is MOST common in the United States?

Which of the following occurs when an organization sells part of a business or operation to another corporation?

Many new businesses are started by people who have left big corporations.

Why is it difficult to compare relative job growth for different-sized businesses?

Which of the following is federally licensed to borrow money from the Small Business Administration to invest in or lend to small businesses?

Which of the following describes an investor in a business who is liable for some of its debt, but has no active role in its operation?

What type of partner invests all funds in the organization but plays no role in its management?

What is created when a corporation creates a new operation with another firm?

By law, each general partner is liable for all debts incurred in the name of the partnership.

Discuss why a business owner would form a limited partnership instead of a general partnership.

What type of company has stock that is widely held and available for sale to the general public?

Who is responsible for the day-to-day management and overall performance of an organization?

Why do attitudes about entrepreneurship vary internationally?

In order to exert influence on corporate managers, groups can pool resources to buy huge blocks of stock. These groups are known as

The Small Business Administration (SBA)may consider a business with many employees to be small as long as it has low annual revenues.

The Small Business Development Center provides micro loan programs for members.

Which type of corporation spans national boundaries and is subject to regulation in multiple countries?

What is a major drawback of sole proprietorships?

What should competitors establish when collaborating on a project that might have mutual gain?

What type of corporation issues stock that is held by only a few people and not available to the public?

The U.S. Business Environment

Understanding Business Ethics and Social Responsibility

Understanding the Global Context of Business

Managing the Business

Organizing the Business

Operations Management and Quality

Employee Behavior and Motivation

Leadership and Decision Making

Human Resource Management and Labor Relations

Marketing Processes and Consumer Behavior

Developing and Pricing Products

Distributing and Promoting Products

Information Technology (IT)for Business

The Role of Accountants and Accounting Information

Understanding Money and the Role of Banking

Managing Business Finances

Filters

Exam 3: Entrepreneurship, New Ventures, and Business Ownership

Which of the following types of businesses is MOST common in the United States?

Which of the following occurs when an organization sells part of a business or operation to another corporation?

Many new businesses are started by people who have left big corporations.

Why is it difficult to compare relative job growth for different-sized businesses?

Which of the following is federally licensed to borrow money from the Small Business Administration to invest in or lend to small businesses?

Which of the following describes an investor in a business who is liable for some of its debt, but has no active role in its operation?

What type of partner invests all funds in the organization but plays no role in its management?

What is created when a corporation creates a new operation with another firm?

By law, each general partner is liable for all debts incurred in the name of the partnership.

Discuss why a business owner would form a limited partnership instead of a general partnership.

What type of company has stock that is widely held and available for sale to the general public?

Who is responsible for the day-to-day management and overall performance of an organization?

Why do attitudes about entrepreneurship vary internationally?

In order to exert influence on corporate managers, groups can pool resources to buy huge blocks of stock. These groups are known as

The Small Business Administration (SBA)may consider a business with many employees to be small as long as it has low annual revenues.

The Small Business Development Center provides micro loan programs for members.

Which type of corporation spans national boundaries and is subject to regulation in multiple countries?

What is a major drawback of sole proprietorships?

What should competitors establish when collaborating on a project that might have mutual gain?

What type of corporation issues stock that is held by only a few people and not available to the public?

The U.S. Business Environment

Understanding Business Ethics and Social Responsibility

Understanding the Global Context of Business

Managing the Business

Organizing the Business

Operations Management and Quality

Employee Behavior and Motivation

Leadership and Decision Making

Human Resource Management and Labor Relations

Marketing Processes and Consumer Behavior

Developing and Pricing Products

Distributing and Promoting Products

Information Technology (IT)for Business

The Role of Accountants and Accounting Information

Understanding Money and the Role of Banking

Managing Business Finances

Filters