Business Exam Part 2

Question 1

The term given for selling products for client home care is:

Accepted Answer

Retailing

Question 2

Products purchased by the salon owner for use during client services and for retailing are known as stock in quantity or

Accepted Answer

Inventory

Question 3

Which form of advertising involves sending postcards or flyers to prospective clients?

Accepted Answer

Direct Mail Advertising

Question 4

A sole proprietorship is a business owned by:

Accepted Answer

One Person

Question 5

When handling a client complaint you can turn a negative experience into a positive one by:

Accepted Answer

Restating back to the client what you heard

Question 6

Which of the following terms refers to all money owed?

Accepted Answer

Liabilities

Question 7

The salon professional&#x27;s name, client&#x27;s name, scheduled service, date & client&#x27;s phone number should be included in the:

Accepted Answer

Appointment Book

Question 8

Which of the following items is reported to the IRS as employee income?

Accepted Answer

Tips received by an employee

Question 9

The tax based on the profits (earnings) of a business is known as:

Accepted Answer

Income Tax

Question 10

Which of the following concepts involves converting existing clients to return clients?

Accepted Answer

Client Retention

Question 11

Offering an additional hair coloring service to the client who scheduled a haircut appointment is an example of:

Accepted Answer

Upselling

Question 12

To be granted future loans, it is important to pay loans on time and avoid:

Accepted Answer

Default

Question 13

Which type of insurance protects the salon owner from financial loss due to an employee&#x27;s negligence?

Accepted Answer

Malpractice

Question 14

Which buyer type is open-minded and willing to take a chance on new products without hesitation?

Accepted Answer

Ready

Question 15

Procedures in the salon that ensure all products are accounted for is known as:

Accepted Answer

Inventory Control

Question 16

What percentage of the total salon expenses generally represents compensation for the salon owner and employees?

Accepted Answer

0.5

Question 17

What is the best form of advertising?

Accepted Answer

Word-of-mouth

Question 18

The ideal salon arrangement has an efficient traffic pattern providing:

Accepted Answer

The least steps for the client and salon professional to travel

Question 19

A client profile is a composite of market stats that can be used to identify the general characteristics of individuals:

Accepted Answer

Within that market

Question 20

A major component of the referral process is ensuring positive:

Accepted Answer

Word-of-mouth

Question 21

Earning additional payment with the number of clients a salon professional brings in is what type of compensation?

Accepted Answer

Salary Plus Commission

Question 22

The salon exterior, décor, music and sounds, and air and ventilation are all elements of:

Accepted Answer

Ambiance

Question 23

An efficient working space for each salon professional is:

Accepted Answer

120-150 square feet

Question 24

According to statistics, how often does the average loyal client visit a salon?

Accepted Answer

Every 6 weeks

Question 25

Which of the following is perhaps the easiest buyer motivation to recognize in the salon?

Accepted Answer

Need

Question 26

An agreement in which a business functions under a parent corporation for promotion, advertising & management is a:

Accepted Answer

Franchise

Question 27

The following are all benefits of a product EXCEPT:

Accepted Answer

Aromatic ingrediants

Question 28

Which buyer wants to know all of the facts about the product and thinks carefully about buying?

Accepted Answer

Logical

Question 29

Placing aromatic soaps and lotions in restrooms is an example of which of the following principles?

Accepted Answer

Little things make a big difference

Question 30

Which of the following actions would represent taking the team approach?

Accepted Answer

Offer guests something to drink while they are waiting

Question 31

A business ownership in which two or more persons share all costs of opening, operating & maintaining the business is a:

Accepted Answer

Partnership

Question 32

Before a salon owner can hire employees they need to apply for a(n):

Accepted Answer

Federal Employer Identification Number

Question 33

Which method is probably the most effective way to build your clientele?

Accepted Answer

Word-of-mouth Advertising

Question 34

A category title for tracking and overseeing clientele-building strategies is CRM which stands for:

Accepted Answer

Client Relations Management

Question 35

An example of a liability on your financial statement would be:

Accepted Answer

Money you owe on a credit card

Question 36

The determination on whether a specific product should be continued as a retail item is based on the number of:

Accepted Answer

Turnovers

Question 37

In many cases, the first person to greet a client is the:

Accepted Answer

Receptionist

Question 38

Which of the following descriptions would be considered a key to successful client relationships?

Accepted Answer

Teach the client how to maintain their look at home

Question 39

A rental agreement is known as a:

Accepted Answer

Lease

Question 40

Networking provides all of the following benefits EXCEPT:

Accepted Answer

Contacts create difficult situations that turn into real problems

Question 41

A strategy that involves clients booking a future appointment before leaving the salon during a current visit is:

Accepted Answer

Prebooking

Question 42

When handling a phone call, always:

Accepted Answer

Maintain self control

Question 43

An important aspect to remember when managing the financial operations of a salon is to:

Accepted Answer

Create a budget

Question 44

Successful salons have staff members who effectively recommend services and a quality line of retail by doing...EXCEPT:

Accepted Answer

Making negative comments

Question 45

Which one of the following items is usually the largest expense in operating a salon?

Accepted Answer

Salaries or Commissions

Business Exam Part 2

Questions 45

Business Exam Part 2

Questions 45