Business and Personal Finance Test 1

The Basic Management Functions are:

Company A has decided to sell itself to Company B to join with Company B’s organization. This is explaining a Merger.

An advantage of a Sole Proprietorship is that is has unlimited liability for the owners.

When there are only a few subordinates reporting to one manager this is called Narrow Span.

A business that is owned by one person and is the simplest form of business ownership is a Partnership.

The ability to identify problems, generate alternative solutions, and select the best solution is Analytic skills.

Investors who buy ownership shares in the form of stock:

A group of two or more people working together to achieve a common set of goals.

The manager that coordinates and supervises the actives of operating employees is the middle manager.

What is the action or process of selling off subsidiary business interests or investments.

A small business owner is a person who independently owns a business that has a significant impact on its market.

The board of directors are the top managers hired by the board to run the corporation.

Friendship, commitment, and high energy are coupled with organizations that lives revolve around the product.

The separation of activities into distinct tasks is job specialization.

The steps to delegation are Responsibility, Authority, and Accountability.

In a corporation, the advantages are that it has continuity, and a stronger fundraising capability.

Entrepreneurship is seeking business opportunities under conditions of risk.

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The process of coordinating people and other resources to achieve the goals of an organization is Management.

Women owned less than 50% of small businesses in 2016.

A person who contributes capital to a business but has no management liability for losses beyond the amount invested.

When authority is concentrated at the upper levels of the organization, this is a decentralized organization.

Dual-Branded franchising is when two franchisors offer their products together.

An individual or organization granting a franchise:

An advantage of starting a small business from scratch is it avoids problems of an existing business.

What does SWOT stand for