Question 1

Fixed assets are those that:

Accepted Answer

A) are intangible. 
B) include cash. 
C) will be used over a long period of time. 
D) are similar to loans and advances. 
A) are intangible. 
B) include cash. 
C) will be used over a long period of time. 
D) are similar to loans and advances.

Question 2

One of the simplest and probably the most widely used small business accounting software package is Intuit's Quickbooks.

Accepted Answer

A) True 
 B)False

Question 3

An entrepreneur focuses on the operating costs before completion of the sales budget.

Accepted Answer

A) True 
 B)False

Question 4

The indirect method of projecting cash flow is the most popular.

Accepted Answer

A) True 
 B)False

Question 5

Fixed operating expenses include all of the following except:

Accepted Answer

A) Rent 
B) Utilities 
C) Raw Materials 
D) Depreciation 
A) Rent 
B) Utilities 
C) Raw Materials 
D) Depreciation

Question 6

Financial projections to assess the impact of different scenarios are calculated using:

Accepted Answer

A) a spreadsheet program. 
B) an inventory management program. 
C) the Internet. 
D) a graphics program. 
A) a spreadsheet program. 
B) an inventory management program. 
C) the Internet. 
D) a graphics program.

Question 7

The _____ budget is used to project cash flows for the cost of goods produced.

Accepted Answer

A) operating 
B) production 
C) capital 
D) depreciation 
A) operating 
B) production 
C) capital 
D) depreciation

Question 8

Selling expense is an expense that can be expected to remain stable over time.

Accepted Answer

A) True 
 B)False

Question 9

Break-even analysis is a technique to determine the total liabilities of the firm.

Accepted Answer

A) True 
 B)False

Question 10

When developing operating and capital budgets,the entrepreneur can seek advice from experts,but should retain the final say so.

Accepted Answer

A) True 
 B)False

Question 11

Zappos,under a cash flow crunch,was bought out by _______:

Accepted Answer

A) Google 
B) Microsoft 
C) Amazon 
D) Netflix 
A) Google 
B) Microsoft 
C) Amazon 
D) Netflix

Question 12

Pro forma sources and applications of funds summarizes all the projected sources of funds available to the venture and how these funds will be disbursed.

Accepted Answer

A) True 
 B)False

Question 13

In projecting cash flows the most difficult problem is in determining the exact amount of monthly receipts and disbursements.

Accepted Answer

A) True 
 B)False

Question 14

In projecting the operating expenses for the second and third year,it is helpful to first look at those expenses that will likely change over time.

Accepted Answer

A) True 
 B)False

Question 15

A reasonable profit that is earned with conservative estimates is not considered to be an initial success for a new venture.

Accepted Answer

A) True 
 B)False

Question 16

A _____________summarizes all the projected sources and applications of funds available to the venture and how these funds will be disbursed.

Accepted Answer

A) Pro forma income statement 
B) Pro forma sources and applications of funds statement 
C) Break-even analysis 
D) Cash flow statement 
A) Pro forma income statement 
B) Pro forma sources and applications of funds statement 
C) Break-even analysis 
D) Cash flow statement

Question 17

The contribution margin is:

Accepted Answer

A) Selling price minus variable cost per unit. 
B) Selling price minus total fixed costs. 
C) Variable cost per unit plus selling price. 
D) Selling price minus total costs. 
A) Selling price minus variable cost per unit. 
B) Selling price minus total fixed costs. 
C) Variable cost per unit plus selling price. 
D) Selling price minus total costs.

Question 18

Break-even is that volume of sales at which there are neither profits nor losses.

Accepted Answer

A) True 
 B)False

Question 19

The pro forma cash flow,like the _________,is based on best estimates.

Accepted Answer

A) business cash flow at a certain point of time 
B) expense statement 
C) income statement 
D) actual cash flow statement 
A) business cash flow at a certain point of time 
B) expense statement 
C) income statement 
D) actual cash flow statement

Question 20

When projecting cash flows for the pro forma cash flow statement,it is important to be conservative in the estimates.

Accepted Answer

A) True 
 B)False

Fixed assets are those that:

One of the simplest and probably the most widely used small business accounting software package is Intuit's Quickbooks.

An entrepreneur focuses on the operating costs before completion of the sales budget.

The indirect method of projecting cash flow is the most popular.

Fixed operating expenses include all of the following except:

Financial projections to assess the impact of different scenarios are calculated using:

The _____ budget is used to project cash flows for the cost of goods produced.

Selling expense is an expense that can be expected to remain stable over time.

Break-even analysis is a technique to determine the total liabilities of the firm.

When developing operating and capital budgets,the entrepreneur can seek advice from experts,but should retain the final say so.

Zappos,under a cash flow crunch,was bought out by _______:

Pro forma sources and applications of funds summarizes all the projected sources of funds available to the venture and how these funds will be disbursed.

In projecting cash flows the most difficult problem is in determining the exact amount of monthly receipts and disbursements.

In projecting the operating expenses for the second and third year,it is helpful to first look at those expenses that will likely change over time.

A reasonable profit that is earned with conservative estimates is not considered to be an initial success for a new venture.

A _____________summarizes all the projected sources and applications of funds available to the venture and how these funds will be disbursed.

The contribution margin is:

Break-even is that volume of sales at which there are neither profits nor losses.

The pro forma cash flow,like the _________,is based on best estimates.

When projecting cash flows for the pro forma cash flow statement,it is important to be conservative in the estimates.

Entrepreneurship and the Entrepreneurial Mind-Set

Entrepreneurial Intentions and Corporate Entrepreneurship

Entrepreneurial Strategy: Generating and Exploiting New Entries

Creativity and the Business Idea

Identifying and Analyzing Domestic and International Opportunities

Intellectual Property and Other Legal Issues for the Entrepreneur

The Business Plan: Creating and Starting the Venture

The Marketing Plan

The Organizational Plan

Sources of Capital

Informal Risk Capital, venture Capital, and Going Public

Strategies for Growth and Managing the Implication of Growth

Accessing Resources for Growth From External Sources

Succession Planning and Strategies for Harvesting and Ending the Venture

Filters

Exam 10: The Financial Plan

Fixed assets are those that:

One of the simplest and probably the most widely used small business accounting software package is Intuit's Quickbooks.

An entrepreneur focuses on the operating costs before completion of the sales budget.

The indirect method of projecting cash flow is the most popular.

Fixed operating expenses include all of the following except:

Financial projections to assess the impact of different scenarios are calculated using:

The _____ budget is used to project cash flows for the cost of goods produced.

Selling expense is an expense that can be expected to remain stable over time.

Break-even analysis is a technique to determine the total liabilities of the firm.

When developing operating and capital budgets,the entrepreneur can seek advice from experts,but should retain the final say so.

Zappos,under a cash flow crunch,was bought out by _______:

Pro forma sources and applications of funds summarizes all the projected sources of funds available to the venture and how these funds will be disbursed.

In projecting cash flows the most difficult problem is in determining the exact amount of monthly receipts and disbursements.

In projecting the operating expenses for the second and third year,it is helpful to first look at those expenses that will likely change over time.

A reasonable profit that is earned with conservative estimates is not considered to be an initial success for a new venture.

A _____________summarizes all the projected sources and applications of funds available to the venture and how these funds will be disbursed.

The contribution margin is:

Break-even is that volume of sales at which there are neither profits nor losses.

The pro forma cash flow,like the _________,is based on best estimates.

When projecting cash flows for the pro forma cash flow statement,it is important to be conservative in the estimates.

Entrepreneurship and the Entrepreneurial Mind-Set

Entrepreneurial Intentions and Corporate Entrepreneurship

Entrepreneurial Strategy: Generating and Exploiting New Entries

Creativity and the Business Idea

Identifying and Analyzing Domestic and International Opportunities

Intellectual Property and Other Legal Issues for the Entrepreneur

The Business Plan: Creating and Starting the Venture

The Marketing Plan

The Organizational Plan

Sources of Capital

Informal Risk Capital, venture Capital, and Going Public

Strategies for Growth and Managing the Implication of Growth

Accessing Resources for Growth From External Sources

Succession Planning and Strategies for Harvesting and Ending the Venture

Filters