Question 1

Two businesses,Rio Books and Devereaux Holdings,collaborate to create and run a new bookselling business.What is this action called?

Accepted Answer

A)  corporatization 
B)  vertical merger 
C)  joint venture 
D)  strategic alliance 
E)  institutional investment 
A)  corporatization 
B)  vertical merger 
C)  joint venture 
D)  strategic alliance 
E)  institutional investment

Question 2

Assuming the farm is organized as an S corporation,what are the advantages?

Accepted Answer

The advantages of an S corpora

Question 3

The U.S.Department of Commerce considers a business "small" if it has fewer than how many employees?

Accepted Answer

A)  10 
B)  50 
C)  100 
D)  500 
E)  1,500 
A)  10 
B)  50 
C)  100 
D)  500 
E)  1,500

Question 4

A good rule of thumb for individuals starting a new business is to not rely on personal resources.

Accepted Answer

A) True 
 B)False

Question 5

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

Accepted Answer

A) True 
 B)False

Question 6

American Business Machines is organized as a corporation.Its income will be taxed at the corporate level and also on shareholder returns as dividends.What is this situation known as?

Accepted Answer

A)  dual costs 
B)  double taxation 
C)  regulatory costs 
D)  double ownership 
E)  financial balancing 
A)  dual costs 
B)  double taxation 
C)  regulatory costs 
D)  double ownership 
E)  financial balancing

Question 7

Viola wants to be a business owner and is contemplating whether to start her own business or open a franchise.Which of the following,if true,would be a compelling reason for Viola to open a franchise rather than start a new business?

Accepted Answer

A)  The franchiser requires $3,000 in start-up costs and a 5 percent monthly royalty fee. 
B)  The franchiser tightly controls and monitors the service protocol. 
C)  The franchisee is responsible for developing all marketing materials. 
D)  The company has only recently become a franchise. 
E)  There are several other franchises with the same company in the area. 
A)  The franchiser requires $3,000 in start-up costs and a 5 percent monthly royalty fee. 
B)  The franchiser tightly controls and monitors the service protocol. 
C)  The franchisee is responsible for developing all marketing materials. 
D)  The company has only recently become a franchise. 
E)  There are several other franchises with the same company in the area.

Question 8

What are the advantages and disadvantages for a franchisee?

Accepted Answer

The advantages of franchising include ac

Question 9

By what percent has the number of African American-owned businesses increased over the past five-year period?

Accepted Answer

A)  20 percent 
B)  40 percent 
C)  60 percent 
D)  78 percent 
E)  98 percent 
A)  20 percent 
B)  40 percent 
C)  60 percent 
D)  78 percent 
E)  98 percent

Question 10

Assuming the farm is organized as a general partnership,what are the advantages?

Accepted Answer

The advantages of a general partnership

Question 11

Which of the following,if true,would strengthen the case that Christina has a good opportunity in opening a new pizza restaurant?

Accepted Answer

A)  There are many existing pizza restaurants in Christina's city. 
B)  The pizza business in Christina's city has remained largely unchanged for many years. 
C)  Restaurant consumers in Christina's city mostly frequent Mexican restaurants. 
D)  Pizza restaurants require several experienced employees to be successful. 
E)  Pizza restaurants can be found in almost any town in the United States. 
A)  There are many existing pizza restaurants in Christina's city. 
B)  The pizza business in Christina's city has remained largely unchanged for many years. 
C)  Restaurant consumers in Christina's city mostly frequent Mexican restaurants. 
D)  Pizza restaurants require several experienced employees to be successful. 
E)  Pizza restaurants can be found in almost any town in the United States.

Question 12

Answers to which of the following questions would be LEAST relevant to determining whether Christina has located a good opportunity in starting Redenda Pizza?

Accepted Answer

A)  Are there other pizza restaurants in the immediate vicinity of the planned location? 
B)  Is the business of other pizza restaurants in the city growing? 
C)  Does the planned location of the restaurant have competitive rent? 
D)  Will Redenda Pizza offer unique ingredients in its food offerings? 
E)  Would Christina bring unique talents and ideas to a restaurant business? 
A)  Are there other pizza restaurants in the immediate vicinity of the planned location? 
B)  Is the business of other pizza restaurants in the city growing? 
C)  Does the planned location of the restaurant have competitive rent? 
D)  Will Redenda Pizza offer unique ingredients in its food offerings? 
E)  Would Christina bring unique talents and ideas to a restaurant business?

Question 13

Which of the following,if true,would weaken the case for Nina running the business as a sole proprietorship?

Accepted Answer

A)  Nina has a degree in accounting. 
B)  Nina's parents also ran a dry-cleaning business. 
C)  Nina had the initial idea to start the new business. 
D)  Sam is anxious to take on a lead role in the business. 
E)  Sam does not have any previous dry-cleaning experience. 
A)  Nina has a degree in accounting. 
B)  Nina's parents also ran a dry-cleaning business. 
C)  Nina had the initial idea to start the new business. 
D)  Sam is anxious to take on a lead role in the business. 
E)  Sam does not have any previous dry-cleaning experience.

Question 14

Which of the following,if true,would strengthen the case for Sam and Nina owning the business in a partnership?

Accepted Answer

A)  Sam and Nina have very different personalities. 
B)  Sam and Nina have the same skill sets. 
C)  Sam and Nina are both motivated and energetic. 
D)  Nina has good leadership qualities. 
E)  Sam has a strong marketing background. 
A)  Sam and Nina have very different personalities. 
B)  Sam and Nina have the same skill sets. 
C)  Sam and Nina are both motivated and energetic. 
D)  Nina has good leadership qualities. 
E)  Sam has a strong marketing background.

Question 15

Explain sole proprietorships and partnerships.Discuss the advantages and disadvantages of each.

Accepted Answer

The sole proprietorship is owned and usu

Question 16

What is a divestiture?

Accepted Answer

With a divestiture,a corporation decides

Question 17

In order to help ensure success for their new business,which of the following questions would be LEAST helpful for Short and Shearer to periodically ask themselves?

Accepted Answer

A)  How well does our firm's operation align with the business plan? 
B)  How many employees do we have? 
C)  How are we handling our finances? 
D)  How are our employees performing? 
E)  How much debt can we afford to carry? 
A)  How well does our firm's operation align with the business plan? 
B)  How many employees do we have? 
C)  How are we handling our finances? 
D)  How are our employees performing? 
E)  How much debt can we afford to carry?

Question 18

A limited liability corporation is a hybrid of a publicly held corporation and a partnership.

Accepted Answer

A) True 
 B)False

Question 19

Discuss the advantages and disadvantages of corporations.

Accepted Answer

The advantages include limited liability

Question 20

In which business sector are cooperatives still important?

Accepted Answer

A)  manufacturing 
B)  automotive 
C)  public utilities 
D)  agriculture 
E)  health care 
A)  manufacturing 
B)  automotive 
C)  public utilities 
D)  agriculture 
E)  health care

Two businesses,Rio Books and Devereaux Holdings,collaborate to create and run a new bookselling business.What is this action called?

Assuming the farm is organized as an S corporation,what are the advantages?

The U.S.Department of Commerce considers a business "small" if it has fewer than how many employees?

A good rule of thumb for individuals starting a new business is to not rely on personal resources.

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

American Business Machines is organized as a corporation.Its income will be taxed at the corporate level and also on shareholder returns as dividends.What is this situation known as?

Viola wants to be a business owner and is contemplating whether to start her own business or open a franchise.Which of the following,if true,would be a compelling reason for Viola to open a franchise rather than start a new business?

What are the advantages and disadvantages for a franchisee?

By what percent has the number of African American-owned businesses increased over the past five-year period?

Assuming the farm is organized as a general partnership,what are the advantages?

Which of the following,if true,would strengthen the case that Christina has a good opportunity in opening a new pizza restaurant?

Answers to which of the following questions would be LEAST relevant to determining whether Christina has located a good opportunity in starting Redenda Pizza?

Which of the following,if true,would weaken the case for Nina running the business as a sole proprietorship?

Which of the following,if true,would strengthen the case for Sam and Nina owning the business in a partnership?

Explain sole proprietorships and partnerships.Discuss the advantages and disadvantages of each.

What is a divestiture?

In order to help ensure success for their new business,which of the following questions would be LEAST helpful for Short and Shearer to periodically ask themselves?

A limited liability corporation is a hybrid of a publicly held corporation and a partnership.

Discuss the advantages and disadvantages of corporations.

In which business sector are cooperatives still important?

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 for Producing Goods and Services

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

Two businesses,Rio Books and Devereaux Holdings,collaborate to create and run a new bookselling business.What is this action called?

Assuming the farm is organized as an S corporation,what are the advantages?

The U.S.Department of Commerce considers a business "small" if it has fewer than how many employees?

A good rule of thumb for individuals starting a new business is to not rely on personal resources.

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

American Business Machines is organized as a corporation.Its income will be taxed at the corporate level and also on shareholder returns as dividends.What is this situation known as?

Viola wants to be a business owner and is contemplating whether to start her own business or open a franchise.Which of the following,if true,would be a compelling reason for Viola to open a franchise rather than start a new business?

What are the advantages and disadvantages for a franchisee?

By what percent has the number of African American-owned businesses increased over the past five-year period?

Assuming the farm is organized as a general partnership,what are the advantages?

Which of the following,if true,would strengthen the case that Christina has a good opportunity in opening a new pizza restaurant?

Answers to which of the following questions would be LEAST relevant to determining whether Christina has located a good opportunity in starting Redenda Pizza?

Which of the following,if true,would weaken the case for Nina running the business as a sole proprietorship?

Which of the following,if true,would strengthen the case for Sam and Nina owning the business in a partnership?

Explain sole proprietorships and partnerships.Discuss the advantages and disadvantages of each.

What is a divestiture?

In order to help ensure success for their new business,which of the following questions would be LEAST helpful for Short and Shearer to periodically ask themselves?

A limited liability corporation is a hybrid of a publicly held corporation and a partnership.

Discuss the advantages and disadvantages of corporations.

In which business sector are cooperatives still important?

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 for Producing Goods and Services

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