Question 1

Which of the following is not true of partnerships? Partnerships

Accepted Answer

A)  can grow by adding talent and money. 
B)  are simple to organize. 
C)  sometimes consists of only one partner. 
D)  are often an extension of a business that began as a sole proprietorship. 
E)  have few legal requirements. 
A)  can grow by adding talent and money. 
B)  are simple to organize. 
C)  sometimes consists of only one partner. 
D)  are often an extension of a business that began as a sole proprietorship. 
E)  have few legal requirements.

Question 2

If a sole proprietorship business fails to generate enough cash,bills must be paid out of the owner's pocket.

Accepted Answer

A) True 
 B)False

Question 3

What are the major parts of a good business plan?

Accepted Answer

- company description
- produc

Question 4

A new firm is

Accepted Answer

A)  one that has been in business for 5 years or less. 
B)  one that as not yet opened for business. 
C)  one with less than 10 years experience. 
D)  one that has become operational within the previous 12 months. 
E)  one that opened its doors within the past 6 months. 
A)  one that has been in business for 5 years or less. 
B)  one that as not yet opened for business. 
C)  one with less than 10 years experience. 
D)  one that has become operational within the previous 12 months. 
E)  one that opened its doors within the past 6 months.

Question 5

Judy is a graduate from a denturist program.Normally,graduates start up their own business,much like dentists and doctors.She has the choice of starting on her own or buying an existing practice.What is an advantage for her of starting a new business from scratch?

Accepted Answer

A)  No suffering from prior owner's errors 
B)  Odds are better to succeed 
C)  Relationship with suppliers already established 
D)  Needs and desires of customers known 
E)  The risks are lower than if she were to buy an existing practice 
A)  No suffering from prior owner's errors 
B)  Odds are better to succeed 
C)  Relationship with suppliers already established 
D)  Needs and desires of customers known 
E)  The risks are lower than if she were to buy an existing practice

Question 6

Women now account for half of all new businesses that are formed,but they lead only a very small percentage of small and medium-sized firms that export goods and services.

Accepted Answer

A) True 
 B)False

Question 7

Small businesses account for over two-thirds of employment in industries like forestry,construction,and accommodation and food.

Accepted Answer

A) True 
 B)False

Question 8

In the double taxation endured by some businesses,_________ is the first taxation and ___________ is the second taxation.

Accepted Answer

A)  tax on corporate profits; value-added tax 
B)  tax on dividends; tax on corporate profits 
C)  tax on corporate profits; tax on dividends 
D)  property tax; income tax 
E)  social security tax; income tax 
A)  tax on corporate profits; value-added tax 
B)  tax on dividends; tax on corporate profits 
C)  tax on corporate profits; tax on dividends 
D)  property tax; income tax 
E)  social security tax; income tax

Question 9

Nascent entrepreneurs are

Accepted Answer

A)  people who have recently sold their business. 
B)  people who actually have started a business. 
C)  people who are trying to start a business. 
D)  people who have been in business over 10 years. 
E)  people who are in their first year of business. 
A)  people who have recently sold their business. 
B)  people who actually have started a business. 
C)  people who are trying to start a business. 
D)  people who have been in business over 10 years. 
E)  people who are in their first year of business.

Question 10

A service-producing business is considered small if it has fewer than 50 employees.

Accepted Answer

A) True 
 B)False

Question 11

Individuals who both recognize and seize opportunities are referred to as

Accepted Answer

A)  speculators. 
B)  franchisees. 
C)  entrepreneurs. 
D)  intrapreneurs. 
E)  independents. 
A)  speculators. 
B)  franchisees. 
C)  entrepreneurs. 
D)  intrapreneurs. 
E)  independents.

Question 12

An example of a debt source of funds is ________ and an example of an equity source of funds is ________.

Accepted Answer

A)  family and friends; venture capitalists 
B)  private lenders; family and friends 
C)  private lenders; trade credit 
D)  venture capitalists; private lenders 
E)  family and friends; private lenders 
A)  family and friends; venture capitalists 
B)  private lenders; family and friends 
C)  private lenders; trade credit 
D)  venture capitalists; private lenders 
E)  family and friends; private lenders

Question 13

Robert wants to start a new business.At this point,he needs to ask himself all of the following questions except

Accepted Answer

A)  What is my competitive advantage? 
B)  How much will the customer buy? 
C)  What legal form should the business take? 
D)  What value is created or added to for the customer? 
E)  What is the marketability of this idea? 
A)  What is my competitive advantage? 
B)  How much will the customer buy? 
C)  What legal form should the business take? 
D)  What value is created or added to for the customer? 
E)  What is the marketability of this idea?

Question 14

The features of a sole proprietorship include all the following except

Accepted Answer

A)  a lot of government paperwork 
B)  simple to form. 
C)  easy to dissolve. 
D)  limited resources. 
E)  unlimited liabilities. 
A)  a lot of government paperwork 
B)  simple to form. 
C)  easy to dissolve. 
D)  limited resources. 
E)  unlimited liabilities.

Question 15

Marco and Sophia have decided to start a dry-cleaning business,but they haven't yet decided on the form of ownership they will adopt.Which of the following would strengthen the case for Marco and Sophia to adopt the partnership form of ownership?

Accepted Answer

A)  Marco and Sophia have very different personalities. 
B)  Marco and Sophia have the same skills. 
C)  Marco and Sophia are both motivated and energetic individuals. 
D)  Sophia has good leadership qualities. 
E)  Marco has a lot of experience in marketing. 
A)  Marco and Sophia have very different personalities. 
B)  Marco and Sophia have the same skills. 
C)  Marco and Sophia are both motivated and energetic individuals. 
D)  Sophia has good leadership qualities. 
E)  Marco has a lot of experience in marketing.

Question 16

Karen is using her company's assets to secure a bank loan.These assets are called

Accepted Answer

A)  financed assets. 
B)  tangible assets. 
C)  goodwill. 
D)  collateral. 
E)  assignments. 
A)  financed assets. 
B)  tangible assets. 
C)  goodwill. 
D)  collateral. 
E)  assignments.

Question 17

________ is the governing body of a corporation.

Accepted Answer

A)  The board of directors 
B)  The majority shareholders committee 
C)  The audit committee 
D)  The CEO 
E)  A shareholders' board 
A)  The board of directors 
B)  The majority shareholders committee 
C)  The audit committee 
D)  The CEO 
E)  A shareholders' board

Question 18

If sole proprietor Tom decided to merge his business with that of another sole proprietor Cindy,a ________ would result.

Accepted Answer

A)  partnership 
B)  T-4A special corporation 
C)  publicly-traded corporation 
D)  dual proprietorship 
E)  co-operative 
A)  partnership 
B)  T-4A special corporation 
C)  publicly-traded corporation 
D)  dual proprietorship 
E)  co-operative

Question 19

A business is normally at its riskiest point during the ________ phase.

Accepted Answer

A)  preliminary 
B)  growth 
C)  start-up 
D)  maturity 
E)  conception 
A)  preliminary 
B)  growth 
C)  start-up 
D)  maturity 
E)  conception

Question 20

Discuss the advantages and disadvantages of buying a franchise to start a new business.

Accepted Answer

- advantages 
- not build step by step

Which of the following is not true of partnerships? Partnerships

If a sole proprietorship business fails to generate enough cash,bills must be paid out of the owner's pocket.

What are the major parts of a good business plan?

A new firm is

Judy is a graduate from a denturist program.Normally,graduates start up their own business,much like dentists and doctors.She has the choice of starting on her own or buying an existing practice.What is an advantage for her of starting a new business from scratch?

Women now account for half of all new businesses that are formed,but they lead only a very small percentage of small and medium-sized firms that export goods and services.

Small businesses account for over two-thirds of employment in industries like forestry,construction,and accommodation and food.

In the double taxation endured by some businesses,_ is the first taxation and ___ is the second taxation.

Nascent entrepreneurs are

A service-producing business is considered small if it has fewer than 50 employees.

Individuals who both recognize and seize opportunities are referred to as

An example of a debt source of funds is and an example of an equity source of funds is .

Robert wants to start a new business.At this point,he needs to ask himself all of the following questions except

The features of a sole proprietorship include all the following except

Marco and Sophia have decided to start a dry-cleaning business,but they haven't yet decided on the form of ownership they will adopt.Which of the following would strengthen the case for Marco and Sophia to adopt the partnership form of ownership?

Karen is using her company's assets to secure a bank loan.These assets are called

________ is the governing body of a corporation.

If sole proprietor Tom decided to merge his business with that of another sole proprietor Cindy,a ________ would result.

A business is normally at its riskiest point during the ________ phase.

Discuss the advantages and disadvantages of buying a franchise to start a new business.

Understanding the Canadian Business System

Understanding the Environments of Business

Conducting Business Ethically and Responsibly

The Global Context of Business

Managing the Business Enterprise

Managing Human Resources

Understanding Labourmanagement Relations

Motivating and Leading Employees

Producing Goods and Services

Increasing Productivity and Quality

Managing Information Systems and Communication Technology

Understanding Accounting Issues

Understanding Marketing Processes and Consumer Behaviour

Developing and Promoting Goods and Services

Pricing and Distributing Goods and Services

Understanding Money and Banking

Understanding Securities and Investments

Financial Decisions and Risk Management

Filters

Exam 4: Understanding Entrepreneurship, small Business, and New Venture Creation

Which of the following is not true of partnerships? Partnerships

If a sole proprietorship business fails to generate enough cash,bills must be paid out of the owner's pocket.

What are the major parts of a good business plan?

A new firm is

Judy is a graduate from a denturist program.Normally,graduates start up their own business,much like dentists and doctors.She has the choice of starting on her own or buying an existing practice.What is an advantage for her of starting a new business from scratch?

Women now account for half of all new businesses that are formed,but they lead only a very small percentage of small and medium-sized firms that export goods and services.

Small businesses account for over two-thirds of employment in industries like forestry,construction,and accommodation and food.

In the double taxation endured by some businesses,_________ is the first taxation and ___________ is the second taxation.

Nascent entrepreneurs are

A service-producing business is considered small if it has fewer than 50 employees.

Individuals who both recognize and seize opportunities are referred to as

An example of a debt source of funds is ________ and an example of an equity source of funds is ________.

Robert wants to start a new business.At this point,he needs to ask himself all of the following questions except

The features of a sole proprietorship include all the following except

Marco and Sophia have decided to start a dry-cleaning business,but they haven't yet decided on the form of ownership they will adopt.Which of the following would strengthen the case for Marco and Sophia to adopt the partnership form of ownership?

Karen is using her company's assets to secure a bank loan.These assets are called

________ is the governing body of a corporation.

If sole proprietor Tom decided to merge his business with that of another sole proprietor Cindy,a ________ would result.

A business is normally at its riskiest point during the ________ phase.

Discuss the advantages and disadvantages of buying a franchise to start a new business.

Understanding the Canadian Business System

Understanding the Environments of Business

Conducting Business Ethically and Responsibly

The Global Context of Business

Managing the Business Enterprise

Managing Human Resources

Understanding Labourmanagement Relations

Motivating and Leading Employees

Producing Goods and Services

Increasing Productivity and Quality

Managing Information Systems and Communication Technology

Understanding Accounting Issues

Understanding Marketing Processes and Consumer Behaviour

Developing and Promoting Goods and Services

Pricing and Distributing Goods and Services

Understanding Money and Banking

Understanding Securities and Investments

Financial Decisions and Risk Management

Filters

In the double taxation endured by some businesses,_ is the first taxation and ___ is the second taxation.

An example of a debt source of funds is and an example of an equity source of funds is .