Question 1

African-American businesses have grown at a faster rate than Hispanic-owned businesses.

Accepted Answer

A) True 
 B)False

Question 2

A merger occurs when a corporation sells one or more of its business units.

Accepted Answer

A) True 
 B)False

Question 3

In a franchise,what are advantages and disadvantages for the franchisee?

Accepted Answer

The advantages of franchising include ac

Question 4

For loans under $35,000,the SBA offers the ________ program.

Accepted Answer

A)  SNDC 
B)  micro-loan 
C)  local development company 
D)  advisory 
A)  SNDC 
B)  micro-loan 
C)  local development company 
D)  advisory

Question 5

Short Case Scenario 3-1
The Miller brothers (Jack, Bill, and Evan) are about to fulfill a life-long dream. They are buying a thousand-acre farm and plan to grow cotton. Seeking independence, they are not interested in bringing in any outside owners. They have obtained financing from the Farm Credit Bureau that will allow them to finance the purchase of the farm and some equipment. The brothers are realistic and expect to work very long hours. However, they have a few critical decisions left to make.
-Which form of business ownership would you recommend for the Miller brothers? Why?

Accepted Answer

Answers will vary and should b

Question 6

Which of the following are federally licensed to borrow money from the SBA to invest in or lend to small businesses?

Accepted Answer

A)  SEC 
B)  SBICs 
C)  USDA 
D)  UNESCO 
A)  SEC 
B)  SBICs 
C)  USDA 
D)  UNESCO

Question 7

What is an entrepreneur?

Accepted Answer

An entrepreneur is a businessp

Question 8

For liability purposes,a limited partnership must have at least one general partner who runs the business and is responsible for its survival and growth.

Accepted Answer

A) True 
 B)False

Question 9

Explain entrepreneurship.Describe key entrepreneurial characteristics.

Accepted Answer

Entrepreneurs are people who assume the

Question 10

A corporation must be managed on the principles of corporate governance.Explain what this is.

Accepted Answer

Corporate governance is the role of shar

Question 11

History has shown that major innovations are more than likely to come from large corporations.

Accepted Answer

A) True 
 B)False

Question 12

According to the text,all of the following are reasons for buying an existing business rather than starting a new one from scratch EXCEPT:

Accepted Answer

A)  better odds of success 
B)  proven ability to draw customers 
C)  established track record 
D)  ability to implement a new business concept 
A)  better odds of success 
B)  proven ability to draw customers 
C)  established track record 
D)  ability to implement a new business concept

Question 13

The biggest advantage of regular corporations is ________.

Accepted Answer

A)  private ownership 
B)  limited liability 
C)  ease of limiting ownership 
D)  lack of continuity 
A)  private ownership 
B)  limited liability 
C)  ease of limiting ownership 
D)  lack of continuity

Question 14

Describe a spin-off.

Accepted Answer

When a firm sells part of itse

Question 15

Which of the following are groups of small investors seeking to make profits on companies with rapid growth potential?

Accepted Answer

A)  banks 
B)  venture capital companies 
C)  equity managers 
D)  government securities dealers 
A)  banks 
B)  venture capital companies 
C)  equity managers 
D)  government securities dealers

Question 16

How did Bob Williamson get his start in the paint industry?

Accepted Answer

Williamson got his start putti

Question 17

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 18

More than any other industry group,________ lends itself to big business.

Accepted Answer

A)  retailing 
B)  wholesaling 
C)  agriculture 
D)  manufacturing 
A)  retailing 
B)  wholesaling 
C)  agriculture 
D)  manufacturing

Question 19

A(n)________ has stock that is widely held and available for sale to the general public.

Accepted Answer

A)  private corporation 
B)  public corporation 
C)  S-corporation 
D)  limited liability corporation 
A)  private corporation 
B)  public corporation 
C)  S-corporation 
D)  limited liability corporation

Question 20

How did Bob Williamson become CEO of his own company?

Accepted Answer

Bob Williamson's wor

African-American businesses have grown at a faster rate than Hispanic-owned businesses.

A merger occurs when a corporation sells one or more of its business units.

In a franchise,what are advantages and disadvantages for the franchisee?

For loans under $35,000,the SBA offers the ________ program.

Which of the following are federally licensed to borrow money from the SBA to invest in or lend to small businesses?

What is an entrepreneur?

For liability purposes,a limited partnership must have at least one general partner who runs the business and is responsible for its survival and growth.

Explain entrepreneurship.Describe key entrepreneurial characteristics.

A corporation must be managed on the principles of corporate governance.Explain what this is.

History has shown that major innovations are more than likely to come from large corporations.

According to the text,all of the following are reasons for buying an existing business rather than starting a new one from scratch EXCEPT:

The biggest advantage of regular corporations is ________.

Describe a spin-off.

Which of the following are groups of small investors seeking to make profits on companies with rapid growth potential?

How did Bob Williamson get his start in the paint industry?

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

More than any other industry group,________ lends itself to big business.

A(n)________ has stock that is widely held and available for sale to the general public.

How did Bob Williamson become CEO of his own company?

The U.S.Business Environment

Business Ethics and Social Responsibility

The Global Context of Business

Business Management

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

Pricing, Distributing, and Promoting Products

The Role of Accountants and Accounting Information

Money and Banking

Managing Finances

Filters

Exam 3: Entrepreneurship, New Ventures, and Business Ownership

African-American businesses have grown at a faster rate than Hispanic-owned businesses.

A merger occurs when a corporation sells one or more of its business units.

In a franchise,what are advantages and disadvantages for the franchisee?

For loans under $35,000,the SBA offers the ________ program.

Which of the following are federally licensed to borrow money from the SBA to invest in or lend to small businesses?

What is an entrepreneur?

For liability purposes,a limited partnership must have at least one general partner who runs the business and is responsible for its survival and growth.

Explain entrepreneurship.Describe key entrepreneurial characteristics.

A corporation must be managed on the principles of corporate governance.Explain what this is.

History has shown that major innovations are more than likely to come from large corporations.

According to the text,all of the following are reasons for buying an existing business rather than starting a new one from scratch EXCEPT:

The biggest advantage of regular corporations is ________.

Describe a spin-off.

Which of the following are groups of small investors seeking to make profits on companies with rapid growth potential?

How did Bob Williamson get his start in the paint industry?

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

More than any other industry group,________ lends itself to big business.

A(n)________ has stock that is widely held and available for sale to the general public.

How did Bob Williamson become CEO of his own company?

The U.S.Business Environment

Business Ethics and Social Responsibility

The Global Context of Business

Business Management

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

Pricing, Distributing, and Promoting Products

The Role of Accountants and Accounting Information

Money and Banking

Managing Finances

Filters