ent exam after practice exams

in defining the industry, an app should be conceptualized not in its use but as a physical term

false

once a business is broadly defined, the next step is to

define a narrow group of customers

when completing a conceptual map, an entrepreneur needs to visit ____ of potential competitors

100%

defining a core customer base can help a new business keep a more focused inventory

true

a trade-in is a product that performs a similar function or achieves the same result as the original product

false

in developing a competitive map, an owner should review

all these choices are correct

Mario wants to open a restaurant that sells Turkish food. He has not defined a radius from which he believes a majority of his customers will come. Which of the following is most likely to happen now?

it will distort his advertising efforts

Gerlald is planning on setting up a burger join in his hometown. He finds out the NAICS (North American Industry Classification System) code for his business.From this information, he is able to understand that his immediate are contains virtually no competitors and has the potential to do very well. In the context of the critical steps involved in conducting external analysis, gerald is

defining the industry in which he is competing

a small business owner must understand when an opportunity for a new business is truly an opportunity

true

the key to recognizing an opportunity is completing a detailed analysis of the internal environment

false

mary has established a reasonable geographic radius for her flower shop. as a result she should be able to

examine potential customers

in the context of researching the industry of a potential business, the benefits of ____ and ____ include the nuanced insights they provide who performs the activities

planning; analyzing

the first part of an external analysis is to

determine in which industry the new business will compete

a NAICS (North american industry classification system) code is a code that is standard 15-digit in length

false

all of these are criteria to be an unusual or unique service/product except

consistent

the amerians with disabilities act requires that there should be no discrimination in the hiring, management, or dismissal of employees with disabilities

true

carla and john enter into a partnership and form a business. under the partnership agreement, carla is directly responsible for the management of the firm and liabilities. John has a minor financial stake in the firm and works there but he is not held responsible for the taxes and debts owed by the firm. In the context of legal forms of business, carla and john have formed a

limited liability partnership

In the context of legal forms of business, indentify a benefit of an subchapter S corporation over a subchapter C corporation

an S corporation has limitations in the number and type of shareholders unlike a c corporation

in the context of legal forms of business, identify a true statement about sole proprietorship firms

laws governing businesses practices do not recognize other equity investors, which limits the growth potential of such firms

It is illegal for sole proprietors to run their business by deducting business expenses from their business incomes

false

in the united states where must a patent application be filed

the united states patent and trademark office

bonding is a type of insurance in which the business is covered in case the workers cause any damage in the performance of their work

true

a lease need not specify a specific length of time as it is assumed to remain in effect as long as tenant is able to pay for it

false

board of advisors are composed of key employees who advise a firm

false

a ____ is the simplest form of a business to establish, as the person who owns it and the business itself are treated as the same entity

sole proprietorship

in the context of business designs, one of the advantages of a corporation is that when it suffers losses, the founders will

lose only their investment in the business rather than their life’s savings

in the context of business licenses a business is required to pay a business license tax that is determined by the number of employees it has

false

a ____ is an organization form that treats a firm as a unique entity and is responsible for its own taxes

c corporation

identify a legal question that an employer can ask during an interview

do you have a SSN

one action a small business owner might take to establish that the firm is not discriminatory would be to advertise the job widely in several publications

true

which of the following information should be obtained in the application/interview process

education and training, ssn, work history, all are correct

the rates of workers’ compensation insurance for individual firms within a particular state are fairly standard and are generally based on the industry and size of the firm

true

a firm sets up a low level salary but offers to share a percentage of its profits at the end of the year

profit sharing

a owner must develop a paper trail regarding an employee’s bad performance

true

when a small business owner pays a commission in addition to basic salary, it is called

hybrid compensation system

any fines levied by the occupational safety and health administration are equal for entrepreneurial businesses with fewer than 25 employees as they are for large businesses.

false

which of the following statements is true of a family business

is generally run by and for the benefit of a particular family

human resource management is not important in family businesses

false

john reviews micheal’s performance on the goals and outcomes that were set 12 months ago. this is called a goal review

false

human resource management includes ____ employees

hiring, inspiring, managing