Question 1

Which is the most common source of ideas for a new venture?

Accepted Answer

A)  Brainstorming 
B)  Family 
C)  Work experiences 
D)  Children 
E)  Magazines 
A)  Brainstorming 
B)  Family 
C)  Work experiences 
D)  Children 
E)  Magazines

Question 2

What percentage of businesses in Canada have less than 100 employees?

Accepted Answer

A)  98 
B)  58 
C)  88 
D)  78 
E)  28 
A)  98 
B)  58 
C)  88 
D)  78 
E)  28

Question 3

Margaret has an opportunity to buy an existing business. She should be knowledgeable about all of the following issues except

Accepted Answer

A)  the location of the business. 
B)  legal form of the business. 
C)  difficulty in determining an appropriate price for the business. 
D)  incomplete knowledge of the state of the business. 
E)  the reputation of the business. 
A)  the location of the business. 
B)  legal form of the business. 
C)  difficulty in determining an appropriate price for the business. 
D)  incomplete knowledge of the state of the business. 
E)  the reputation of the business.

Question 4

Why is it important to have a business plan?

Accepted Answer

- To help organize and act as a road map

Question 5

Harold's father owns a plumbing business, which Harold will likely take over. However, Harold needs to know the problems that beset family businesses. Which of the following is not a problem in a family business?

Accepted Answer

A)  Untrained and uneducated family members as personnel 
B)  Failure to respond to changing market conditions 
C)  Choosing an appropriate successor 
D)  Consistent under-financing 
E)  Disagreement among family members about the future of the business 
A)  Untrained and uneducated family members as personnel 
B)  Failure to respond to changing market conditions 
C)  Choosing an appropriate successor 
D)  Consistent under-financing 
E)  Disagreement among family members about the future of the business

Question 6

Partnerships are generally more advantageous than sole proprietorships because

Accepted Answer

A)  the talents of the partners can be pooled. 
B)  some businesses can only be formed as partnerships. 
C)  there are many types of partnerships. 
D)  partners are jointly and severally liable. 
E)  many people can be the president of the company. 
A)  the talents of the partners can be pooled. 
B)  some businesses can only be formed as partnerships. 
C)  there are many types of partnerships. 
D)  partners are jointly and severally liable. 
E)  many people can be the president of the company.

Question 7

A small business is, by definition, entrepreneurial.

Accepted Answer

A) True 
 B)False

Question 8

Describe the advantages and disadvantages of operating a business as a sole proprietorship.

Accepted Answer

The advantages of sole proprietorships i

Question 9

The Miller brothers (Jack, Bill, and Evan) are about to fulfill a lifelong dream. They are buying a thousand-acre farm and plan to grow corn. They are not interested in bringing in any outside owners. The brothers are realistic and expect to work very long hours. However, they have a few critical decisions left to make. Should the Miller brothers develop a business plan? Why or why not?

Accepted Answer

A business plan would help the brothers

Question 10

In the 2015 Heritage Foundation index of economic freedom, the top three countries were ________; Canada ranked ________.

Accepted Answer

A)  Australia, Japan, and Singapore; 25th 
B)  the United States, Germany, and Japan; 8th 
C)  the United States, Ireland, and Germany; 11th 
D)  Hong Kong, Singapore, and New Zealand; 6th 
E)  China, Japan, and South Vietnam; 37th 
A)  Australia, Japan, and Singapore; 25th 
B)  the United States, Germany, and Japan; 8th 
C)  the United States, Ireland, and Germany; 11th 
D)  Hong Kong, Singapore, and New Zealand; 6th 
E)  China, Japan, and South Vietnam; 37th

Question 11

Jody is a young graduate from a business program. She can either help out in the family business or work with another organization. Which of the following is not a typical advantage associated with a family business?

Accepted Answer

A)  Highly trained individuals 
B)  Valuable community relationships 
C)  Personal sacrifices leading to financial advantage 
D)  High employee loyalty 
E)  Unified family management 
A)  Highly trained individuals 
B)  Valuable community relationships 
C)  Personal sacrifices leading to financial advantage 
D)  High employee loyalty 
E)  Unified family management

Question 12

Self-employed Canadians account for about ________ percent of the workforce.

Accepted Answer

A)  3 
B)  5 
C)  16 
D)  22 
E)  34 
A)  3 
B)  5 
C)  16 
D)  22 
E)  34

Question 13

Why might an entrepreneur wish to purchase an existing business rather than starting one from scratch?

Accepted Answer

An entrepreneur may wish to purchase an

Question 14

________ is defined as "an artificial being, invisible, intangible, and existing only in contemplation of the law."

Accepted Answer

A)  A corporation 
B)  A co-operative 
C)  A partnership 
D)  A business owner 
E)  A sole proprietorship 
A)  A corporation 
B)  A co-operative 
C)  A partnership 
D)  A business owner 
E)  A sole proprietorship

Question 15

What are the three key elements in the entrepreneurial process?

Accepted Answer

A)  The entrepreneur, the opportunity, and the marketing plan 
B)  The marketing plan, the production plan, and the finance plan 
C)  The product (or service) plan, the entrepreneur, and luck 
D)  The entrepreneur, the opportunity, and the resources 
E)  The financing plan, the product (or service) plan, and luck 
A)  The entrepreneur, the opportunity, and the marketing plan 
B)  The marketing plan, the production plan, and the finance plan 
C)  The product (or service) plan, the entrepreneur, and luck 
D)  The entrepreneur, the opportunity, and the resources 
E)  The financing plan, the product (or service) plan, and luck

Question 16

Which of the following is an advantage for the franchisee?

Accepted Answer

A)  Freed from detail of local operations 
B)  Recognition 
C)  Rapid growth for the franchise 
D)  Low entry cost 
E)  Guaranteed success 
A)  Freed from detail of local operations 
B)  Recognition 
C)  Rapid growth for the franchise 
D)  Low entry cost 
E)  Guaranteed success

Question 17

Which of the following is correct with regard to business planning?

Accepted Answer

A)  A business plan is a good thing to have, but it is generally not a requirement for securing resources for the proposed new venture. 
B)  If market conditions are changing rapidly, the benefits gained from extensive research and planning will diminish quickly. 
C)  If the product is highly innovative, research is particularly important. 
D)  Planning should be completed before action is taken. 
E)  All things considered, it is probably best to plan to start as a franchise. 
A)  A business plan is a good thing to have, but it is generally not a requirement for securing resources for the proposed new venture. 
B)  If market conditions are changing rapidly, the benefits gained from extensive research and planning will diminish quickly. 
C)  If the product is highly innovative, research is particularly important. 
D)  Planning should be completed before action is taken. 
E)  All things considered, it is probably best to plan to start as a franchise.

Question 18

What is the difference between a public and private corporation?

Accepted Answer

A)  Public corporations issue shares, whereas private corporations do not. 
B)  Public corporations are owned by a government, whereas private corporations are owned by private individuals. 
C)  Public corporations are always large, whereas private corporations are not allowed by law to be large. 
D)  Public corporations have articles of incorporation, whereas private corporations do not. 
E)  Public corporations issue shares that are widely held, whereas private corporations issue shares that are held by only a few people. 
A)  Public corporations issue shares, whereas private corporations do not. 
B)  Public corporations are owned by a government, whereas private corporations are owned by private individuals. 
C)  Public corporations are always large, whereas private corporations are not allowed by law to be large. 
D)  Public corporations have articles of incorporation, whereas private corporations do not. 
E)  Public corporations issue shares that are widely held, whereas private corporations issue shares that are held by only a few people.

Question 19

A business is at its riskiest point during the start-up phase.

Accepted Answer

A) True 
 B)False

Question 20

What was the largest corporation in Canada in 2014, as measured by sales revenue?

Accepted Answer

A)  Imperial Oil 
B)  Manulife Financial Corp. 
C)  Bank of Nova Scotia 
D)  General Motors Canada 
E)  Suncor Energy 
A)  Imperial Oil 
B)  Manulife Financial Corp. 
C)  Bank of Nova Scotia 
D)  General Motors Canada 
E)  Suncor Energy

Which is the most common source of ideas for a new venture?

What percentage of businesses in Canada have less than 100 employees?

Margaret has an opportunity to buy an existing business. She should be knowledgeable about all of the following issues except

Why is it important to have a business plan?

Harold's father owns a plumbing business, which Harold will likely take over. However, Harold needs to know the problems that beset family businesses. Which of the following is not a problem in a family business?

Partnerships are generally more advantageous than sole proprietorships because

A small business is, by definition, entrepreneurial.

Describe the advantages and disadvantages of operating a business as a sole proprietorship.

In the 2015 Heritage Foundation index of economic freedom, the top three countries were ; Canada ranked .

Jody is a young graduate from a business program. She can either help out in the family business or work with another organization. Which of the following is not a typical advantage associated with a family business?

Self-employed Canadians account for about ________ percent of the workforce.

Why might an entrepreneur wish to purchase an existing business rather than starting one from scratch?

________ is defined as "an artificial being, invisible, intangible, and existing only in contemplation of the law."

What are the three key elements in the entrepreneurial process?

Which of the following is an advantage for the franchisee?

Which of the following is correct with regard to business planning?

What is the difference between a public and private corporation?

A business is at its riskiest point during the start-up phase.

What was the largest corporation in Canada in 2014, as measured by sales revenue?

Understanding the Canadian Business System

The Environment of Business

Conducting Business Ethically and Responsibly

The Global Context of Business

Managing the Business Enterprise

Organizing the Business Enterprise

Managing Human Resources and Labour Relations

Motivating, Satisfying, and Leading Employees

Operations Management, Productivity, and Quality

Understanding Accounting

Understanding Marketing Principles and Developing Products

Pricing, Promotion, and Distributing Products

Money and Banking

Finacial Decisions and Risk Management

Filters

Exam 4: Entrepreneurship, Small Business, and New Venture Creation

Which is the most common source of ideas for a new venture?

What percentage of businesses in Canada have less than 100 employees?

Margaret has an opportunity to buy an existing business. She should be knowledgeable about all of the following issues except

Why is it important to have a business plan?

Harold's father owns a plumbing business, which Harold will likely take over. However, Harold needs to know the problems that beset family businesses. Which of the following is not a problem in a family business?

Partnerships are generally more advantageous than sole proprietorships because

A small business is, by definition, entrepreneurial.

Describe the advantages and disadvantages of operating a business as a sole proprietorship.

In the 2015 Heritage Foundation index of economic freedom, the top three countries were ________; Canada ranked ________.

Jody is a young graduate from a business program. She can either help out in the family business or work with another organization. Which of the following is not a typical advantage associated with a family business?

Self-employed Canadians account for about ________ percent of the workforce.

Why might an entrepreneur wish to purchase an existing business rather than starting one from scratch?

________ is defined as "an artificial being, invisible, intangible, and existing only in contemplation of the law."

What are the three key elements in the entrepreneurial process?

Which of the following is an advantage for the franchisee?

Which of the following is correct with regard to business planning?

What is the difference between a public and private corporation?

A business is at its riskiest point during the start-up phase.

What was the largest corporation in Canada in 2014, as measured by sales revenue?

Understanding the Canadian Business System

The Environment of Business

Conducting Business Ethically and Responsibly

The Global Context of Business

Managing the Business Enterprise

Organizing the Business Enterprise

Managing Human Resources and Labour Relations

Motivating, Satisfying, and Leading Employees

Operations Management, Productivity, and Quality

Understanding Accounting

Understanding Marketing Principles and Developing Products

Pricing, Promotion, and Distributing Products

Money and Banking

Finacial Decisions and Risk Management

Filters

In the 2015 Heritage Foundation index of economic freedom, the top three countries were ; Canada ranked .