ENT midterm

Question 1

If a product is still in development, the business plan needs to explain its status.

Accepted Answer

True

Question 2

The fact that multiple generations often work together in family businesses provides which of the following advantages?

Accepted Answer

views of diverse clients are more likely to be taken into consideration.

Question 3

Efficiently managing the purchasing cycle is important because

Accepted Answer

unused inventory takes away from a business’s profits.

Question 4

Intellectual property law deals with

Accepted Answer

concepts with monetary value.

Question 5

Which of the following is an example of a problem with logistics?

Accepted Answer

An order arrives at the harbor too late to be loaded on the ship.

Question 6

A person who is entitled to Social Security benefits but was not receiving them would take their case to

Accepted Answer

administrative court.

Question 7

A business plan should be rewritten every three to five years.

Accepted Answer

True

Question 8

Many franchises require franchisees to pay royalties.

Accepted Answer

True

Question 9

A business plan is helpful for which of the following reasons?

Accepted Answer

It helps a business set future goals.

Question 10

Human risk includes which of the following?

Accepted Answer

A key member could suddenly depart.

Question 11

Why would a business choose to buy supplies from another country?

Accepted Answer

The business found a better price for the supplies.

Question 12

Which of the following statements about market share is true?

Accepted Answer

All businesses will need a percentage of the market share to survive.

Question 13

Buying an existing business may allow a new business owner to start making money right away.

Accepted Answer

True

Question 14

An example of an uncontrollable risk is

Accepted Answer

a change in government regulations.

Question 15

There are different standards for due process in civil and criminal cases.

Accepted Answer

False

Question 16

What are the potential consequences if a business does not follow regulations?

Accepted Answer

all of the above

Question 17

The difference between a C Corp and an S Corp is

Accepted Answer

the tax code that each uses is different.

Question 18

If a business goes bankrupt, it automatically closes.

Accepted Answer

False

Question 19

Which of the following is the best definition of marketing?

Accepted Answer

All methods of reaching and attracting potential customers

Question 20

Audits are used only when businesses suspect someone has been stealing.

Accepted Answer

False

Question 21

A franchise can be among the more expensive businesses to start because

Accepted Answer

it requires a franchise fee on top of the usual business expenses.

Question 22

There is virtually no risk if an existing business expands.

Accepted Answer

False

Question 23

If a business only has one owner, it does not need an Organization and Management section.

Accepted Answer

False

Question 24

Which of the following is an example of a tort?

Accepted Answer

A person is supposed to provide services but fails to.

Question 25

How can choosing a great location in a popular part of town actually be a disadvantage for a business?

Accepted Answer

The rent may be considerably higher.

ENT midterm

Questions 25

ENT midterm

Questions 25