EXAM Review

Question 1

Land or buildings are called

Accepted Answer

real estate

Question 2

No matter the size of the business, the leader sets the _____ for how the org operates.

Accepted Answer

tone or style

Question 3

A good contract will spell out _____, or acts of God...

Accepted Answer

contingencies

Question 4

Licensing is

Accepted Answer

renting your brand / intellectual property to increase sales

Question 5

Infringement of intellectual property is

Accepted Answer

a crime

Question 6

To protect against lawsuits from those injured by your product, you'll need

Accepted Answer

liability insurance

Question 7

Financing with earnings is an option under what circumstances

Accepted Answer

A co is profitable and has positive cash flow from oper

Question 8

A critical component of Supply chain management is

Accepted Answer

both

Question 9

Using your brand to develop new products and promote them is called

Accepted Answer

line extension

Question 10

Investors who invest money in exchange for equity receive

Accepted Answer

a share of ownership of the bus

Question 11

The family of standards for quality mgt established by the Int. Org for Standardization is

Accepted Answer

ISO9000

Question 12

Business failure is defined by Dun and Bradstreet as business termination

Accepted Answer

with losses to creditors

Question 13

Engineers from which company developed Six Sigma in the 1980's?

Accepted Answer

Motorola

Question 14

Paying a percentage of units sold to the franchisor is called

Accepted Answer

a royalty

Question 15

The set of actions that produce goods and services is called

Accepted Answer

operations

Question 16

Statistics indicate that more than half of all small businesses:

Accepted Answer

survive 8 years or more

Question 17

Obtain a trademark in order to

Accepted Answer

protect your logo

Question 18

The main disadvantage of corporations is that corporate income

Accepted Answer

taxed twice

Question 19

Which of the following is given by the pres of the U.S.?

Accepted Answer

Malcolm Baldridge Nat Quality Award

Question 20

The greater the reward,

Accepted Answer

the riskier the investment

Question 21

In a corporation all profits go to

Accepted Answer

the owners and the shareholders

Question 22

If you are a small bus owner looking for a loan, banks will expect you to

Accepted Answer

personally guarantee the loan

Question 23

Corporate scandals at Enron, MCI, etc are examples of failure of

Accepted Answer

corporate governance

Question 24

Financing a corp with debt means borrowing or

Accepted Answer

selling bonds

Question 25

A share of stock represents

Accepted Answer

ownership

Question 26

Every corporation is recognized and treated under the law as

Accepted Answer

an entity

Question 27

The inventory method in which you look at the inventory on hand is called

Accepted Answer

visual control

Question 28

Which of the following is not one of the 5 C's of borrowing?

Accepted Answer

certainty

Question 29

A tool that can assist an entrepreneur in time management is a PERT chart. PERT stands for

Accepted Answer

Program Evaluation and Review Technique

Question 30

The act of Congress requiring equal pay for men and women is called

Accepted Answer

Equal Pay Act

Question 31

A _________ for technology is important for decision making before investment.

Accepted Answer

cost/benefit analysis

Question 32

Raising money for a business is an aspect of _____

Accepted Answer

financing

Question 33

Selling a company to its managers is called

Accepted Answer

a management buy-out

Question 34

The first offering of a corporation's stock is called

Accepted Answer

IPO

Question 35

Non profit corporations

Accepted Answer

are set up with a mission to improve society

Question 36

A key factor in deciding upon a location for a business is

Accepted Answer

access to adequate labor pool

Question 37

Relying on debt financing is dangerous for a company because

Accepted Answer

cred can force co into bankruptcy or take over

Question 38

A measure of quality that may be used in TQM is

Accepted Answer

all of these

Question 39

The amount of risk or threat of loss that an entrepreneur is willing to sustain is

Accepted Answer

risk tolerance

Question 40

A low deductible will

Accepted Answer

yield a higher premium

Question 41

No matter how you raise money, you'll need a

Accepted Answer

written business plan

Question 42

The standards and rules in businesses that help someone decide right from wrong are called

Accepted Answer

ethics

Question 43

In limited liability companies

Accepted Answer

income is taxed once, as the personal earnigs of members

Question 44

A business behaviror might be legal but still not be

Accepted Answer

ethical

Question 45

Lost sales and goodwill are potentially significant costs that may arise from

Accepted Answer

too little inventory

EXAM Review

Questions 45

EXAM Review

Questions 45