Question 1

Which of the following is not typically identified as a bootstrapping technique?

Accepted Answer

A) sharing office space 
B) hiring seasoned veterans 
C) encouraging customers to pay early 
D) trading equity for services 
A) sharing office space 
B) hiring seasoned veterans 
C) encouraging customers to pay early 
D) trading equity for services

Question 2

Sources of debt financing include trade credit, accounts receivable financing, factoring, and finance companies.

Accepted Answer

A) True 
 B)False

Question 3

Financing includes all of the following except

Accepted Answer

A) the owner's money. 
B) angels. 
C) equitable payback. 
D) seed capital. 
A) the owner's money. 
B) angels. 
C) equitable payback. 
D) seed capital.

Question 4

Many new ventures find that debt financing is

Accepted Answer

A) necessary. 
B) a waste of time. 
C) not an important consideration. 
D) a minor source of funds. 
A) necessary. 
B) a waste of time. 
C) not an important consideration. 
D) a minor source of funds.

Question 5

Which of the following was a significant contributor to job growth, with the creation of 263,950 new jobs in the United States in 2016?

Accepted Answer

A) crowdfunding 
B) angel investments 
C) factoring 
D) venture capital 
A) crowdfunding 
B) angel investments 
C) factoring 
D) venture capital

Question 6

Which of the following is not a question commonly asked by banks of entrepreneurs?

Accepted Answer

A) What do you plan to do with the money? 
B) How much do you need? 
C) What interest rate did you have in mind? 
D) How will you repay the loan? 
A) What do you plan to do with the money? 
B) How much do you need? 
C) What interest rate did you have in mind? 
D) How will you repay the loan?

Question 7

Informal risk capitalists are those who have already made their money and now seek to help new ventures.

Accepted Answer

A) True 
 B)False

Question 8

Advantages of debt financing include all of the following except

Accepted Answer

A) low interest rates that justify the opportunity cost. 
B) regular interest payments. 
C) potential greater return on equity. 
D) no relinquishment of ownership. 
A) low interest rates that justify the opportunity cost. 
B) regular interest payments. 
C) potential greater return on equity. 
D) no relinquishment of ownership.

Question 9

Venture capitalists are quick to invest.

Accepted Answer

A) True 
 B)False

Question 10

Crowdfunding provides entrepreneurs with access to beta-testing and market feedback.

Accepted Answer

A) True 
 B)False

Question 11

Short-term debt is paid back

Accepted Answer

A) in six months. 
B) in one year. 
C) after sales. 
D) over an indefinite period of time. 
A) in six months. 
B) in one year. 
C) after sales. 
D) over an indefinite period of time.

Question 12

Use of debt to finance a new venture involves a payback of the funds plus an interest fee (interest) for the use of the money.

Accepted Answer

A) True 
 B)False

Question 13

Common stock is the least basic form of ownership.

Accepted Answer

A) True 
 B)False

Question 14

Explain peer-to-peer lending.

Accepted Answer

Peer-to-peer lending, commonly abbreviat

Question 15

Approximately how many commercial banks are there in this country?

Accepted Answer

A) about 40,000 
B) about 5,500 
C) about 17,000 
D) about 20,000 
A) about 40,000 
B) about 5,500 
C) about 17,000 
D) about 20,000

Question 16

Regulation D augments the regulations for reports and statements required for selling stock to private parties, friends, employees, customers, relatives, and local professionals.

Accepted Answer

A) True 
 B)False

Question 17

The most common source of debt financing is

Accepted Answer

A) trade credit. 
B) factoring. 
C) commercial banks. 
D) finance companies. 
A) trade credit. 
B) factoring. 
C) commercial banks. 
D) finance companies.

Question 18

According to the text, which of the following could be considered a "deal killer" by a venture capitalist?

Accepted Answer

A) the entrepreneur's education 
B) the entrepreneur's travel expenses 
C) the excessive founder salaries 
D) the humility of the management team 
A) the entrepreneur's education 
B) the entrepreneur's travel expenses 
C) the excessive founder salaries 
D) the humility of the management team

Question 19

Venture capitalists, surprisingly, require little information before they make an investment.

Accepted Answer

A) True 
 B)False

Question 20

Which of the following is not one of the eight critical factors that venture capitalists use in the evaluation of new ventures?

Accepted Answer

A) lead time 
B) timing of entry 
C) scope 
D) managerial structure 
A) lead time 
B) timing of entry 
C) scope 
D) managerial structure

Which of the following is not typically identified as a bootstrapping technique?

Sources of debt financing include trade credit, accounts receivable financing, factoring, and finance companies.

Financing includes all of the following except

Many new ventures find that debt financing is

Which of the following was a significant contributor to job growth, with the creation of 263,950 new jobs in the United States in 2016?

Which of the following is not a question commonly asked by banks of entrepreneurs?

Informal risk capitalists are those who have already made their money and now seek to help new ventures.

Advantages of debt financing include all of the following except

Venture capitalists are quick to invest.

Crowdfunding provides entrepreneurs with access to beta-testing and market feedback.

Short-term debt is paid back

Use of debt to finance a new venture involves a payback of the funds plus an interest fee (interest) for the use of the money.

Common stock is the least basic form of ownership.

Explain peer-to-peer lending.

Approximately how many commercial banks are there in this country?

Regulation D augments the regulations for reports and statements required for selling stock to private parties, friends, employees, customers, relatives, and local professionals.

The most common source of debt financing is

According to the text, which of the following could be considered a "deal killer" by a venture capitalist?

Venture capitalists, surprisingly, require little information before they make an investment.

Which of the following is not one of the eight critical factors that venture capitalists use in the evaluation of new ventures?

Entrepreneurship Evolutionary Development--Revolutionary Impact

The Entrepreneurial Mind-Set in Individuals: Cognition and Ethics

The Entrepreneurial Mind-Set in Organizations: Corporate Entrepreneurship

Social Entrepreneurship and the Global Environment for Entrepreneurship

Innovation: the Creative Pursuit of Ideas

Assessment of Entrepreneurial Opportunities

Pathways to Entrepreneurial Ventures

Legal Challenges for Entrepreneurial Ventures

Marketing Research for Entrepreneurial Ventures

Financial Preparation for Entrepreneurial Ventures

Developing an Effective Business Plan

Strategic Entrepreneurial Growth

Valuation of Entrepreneurial Ventures

Harvesting Entrepreneurial Ventures

Filters

Exam 8: Sources of Capital for Entrepreneurial Ventures

Which of the following is not typically identified as a bootstrapping technique?

Sources of debt financing include trade credit, accounts receivable financing, factoring, and finance companies.

Financing includes all of the following except

Many new ventures find that debt financing is

Which of the following was a significant contributor to job growth, with the creation of 263,950 new jobs in the United States in 2016?

Which of the following is not a question commonly asked by banks of entrepreneurs?

Informal risk capitalists are those who have already made their money and now seek to help new ventures.

Advantages of debt financing include all of the following except

Venture capitalists are quick to invest.

Crowdfunding provides entrepreneurs with access to beta-testing and market feedback.

Short-term debt is paid back

Use of debt to finance a new venture involves a payback of the funds plus an interest fee (interest) for the use of the money.

Common stock is the least basic form of ownership.

Explain peer-to-peer lending.

Approximately how many commercial banks are there in this country?

Regulation D augments the regulations for reports and statements required for selling stock to private parties, friends, employees, customers, relatives, and local professionals.

The most common source of debt financing is

According to the text, which of the following could be considered a "deal killer" by a venture capitalist?

Venture capitalists, surprisingly, require little information before they make an investment.

Which of the following is not one of the eight critical factors that venture capitalists use in the evaluation of new ventures?

Entrepreneurship Evolutionary Development--Revolutionary Impact

The Entrepreneurial Mind-Set in Individuals: Cognition and Ethics

The Entrepreneurial Mind-Set in Organizations: Corporate Entrepreneurship

Social Entrepreneurship and the Global Environment for Entrepreneurship

Innovation: the Creative Pursuit of Ideas

Assessment of Entrepreneurial Opportunities

Pathways to Entrepreneurial Ventures

Legal Challenges for Entrepreneurial Ventures

Marketing Research for Entrepreneurial Ventures

Financial Preparation for Entrepreneurial Ventures

Developing an Effective Business Plan

Strategic Entrepreneurial Growth

Valuation of Entrepreneurial Ventures

Harvesting Entrepreneurial Ventures

Filters