Test your basic knowledge |

Small Business Management

Instructions:

Answer 50 questions in 15 minutes.
If you are not ready to take this test, you can study here.
Match each statement with the correct term.
Don't refresh. All questions and answers are randomly picked and ordered every time you load a test.

This is a study tool. The 3 wrong answers for each question are randomly chosen from answers to other questions. So, you might find at times the answers obvious, but you will see it re-enforces your understanding as you take the test each time.

1. In a business - the number of times the average inventory is sold or used up can be referred to as...
Commercial loans; Venture capitalists
equity capital
Name of the business; Goodwill
inventory turnover

2. A management function which compares organization and individual performance with predetermined standards or expected results is known as...
to determine where the potential customers are
evaluating; controlling
a business plan
advertising

3. Which of the following are examples of debt capital?
the religion of the applicant
equity capital
description
Commercial loans; Venture capitalists

4. A cost which is uniform per unit - but fluctuates in total - in direct proportion to change in the related total activity or volume is known as...
competition
Civil Rights Act
variable expense
Terms of the sale

5. Which of the following are disadvantages of a sole proprietorship?
sales promotions
credit application
2/10 - N30
Unlimited liability; Limited management ability

6. An interview whereby the applicant is asked a pre-determined set of questions is known as...
revolving account; open-end credit
a structured interview
inventory control considerations
Equal Pay Act of 1963

7. An association of business people who attempt to protect and promote the commercial interests in a community is known as the...
circulating capital
equity capital; personal capital
Chamber of Commerce
corporation

8. A point in business operations whereby total sales revenue equals total costs
equity capital
break-even point
credit application
consumerism

9. Which of the following is an external problem and risk of business ownership?
Tax burdens; Human resource planning
to self-insure
the employment interview
Equal Pay Act of 1963

10. The main objective in a market survey is...
an entrepreneur
to determine where the potential customers are
market
Equal Pay Act of 1963

11. Which of the following are disadvantages of a corporation?
Legal restrictions on activities; Lack of personal interest
intangible assets
variable expense
circulating capital

12. Which of the following is an internal problem that can lead to business failure?
key person insurance
Lack of expertise
equity capital
Tax burdens; Human resource planning

13. In organizing a business - a legal form of organization that is authorized by a state to operate a business under a state charter is referred to as a...
demographics
Small Business Administration
corporation
equity capital

14. Which of the following acts outlaws discrimination in employment based on race - color - religion - sex - pregnancy - or natural origin?
corporation
break-even point
partnership
Civil Rights Act

15. A written description of a new idea that projects marketing - operational - and financial aspects of a proposed business is known as...
working capital; circulating capital
a business plan
Chamber of Commerce
Legal restrictions on activities; Lack of personal interest

16. Which of the following is NOT an advantage of a corporation?
intangible assets
Legal restrictions on activities
OSHA
break-even point

17. Capital that is investe4d in the business by the owner(s) is known as...
Applicant's sex
Small Business Administration
new venture plan; business plan
equity capital; personal capital

18. Long term capital invested in the business is...
entrepreneur
Financial shortages
fixed capital
key person insurance

19. The statistical study of human populations with respect to their size - density - distribution - composition - and income is known as...
fixed capital
proprietorship
evaluating; controlling
demographics

20. The difference between merchandise cost and the selling price is known as the...
sales promotions
Some losses from bad debts and customers with fraudulent intentions are bound to occur
mark-up
the employment interview

21. A type of credit granted by retailers that is used by individuals or families for the satisfaction of their own wants is known as...
a business plan
consumer credit
fixed capital
Legal restrictions on activities; Lack of personal interest

22. An individual that assumes the risks associated with a new venture start-up can be referred to as a...
lost income
Name of the business; Goodwill
entrepreneur
evaluating; controlling

23. Which of the following is not a consideration concerning the selection of suppliers?
Whether or not they have an acceptable accounts receivable ratio
equity capital
service business
Divided authority among partners; Death or incapacity of one of the partners may end the partnership

24. Which of the following is NOT a type of consumer credit?
manufacturing business
fixed expense
economic base
Personal checks

25. Which of the following is recognized as a disadvantage of extending credit?
Income trends in the community
Efficiency of labor; Combined management - talent and capital
Personal checks
Some losses from bad debts and customers with fraudulent intentions are bound to occur

26. Which of the following is a requirement for a building layout?
Financial shortages
Accessibility
Equal Pay Act of 1963
description

27. A governmental agency with the responsibility for regulatory and enforcement of safety and health matters for most United States employees - is known as...
OSHA
risk management
Financial shortages
Some losses from bad debts and customers with fraudulent intentions are bound to occur

28. The association of business firms that promotes ethical conduct by all business firms in a community is known as the...
fixed expense
trade credit
Better Business Bureau
Whether or not they have an acceptable accounts receivable ratio

29. Which of the following would NOT be an insurance risk to consider?
partnership
Terms of the sale
circulating capital
merchandising business

30. A form of legal organization in which a business association made up of two or more persons is formed for the purpose of carrying on as co-owners is known as a...
partnership
working capital
Commercial loans; Venture capitalists
the employment interview

31. Which of the following laws prohibits discrimination against any qualified individual with a disability?

Warning: Invalid argument supplied for foreach() in /var/www/html/basicversity.com/show_quiz.php on line 183

32. A group of potential customers that are recognized as possessing purchasing power and unsatisfied needs defines...
market
partnership
Divided authority among partners; Death or incapacity of one of the partners may end the partnership
Repairs

33. A management function which compares organizational and individual performance with predetermined standards or expected results is...
demographics
working capital
Divided authority among partners; Death or incapacity of one of the partners may end the partnership
controlling

34. Any capital that is invested in a business by the owner(s) can be called...
equity capital
Unlimited liability; Limited management ability
economic base
merchandising business

35. Any effort undertaken to retain and preserve the assets and earning power of a business is called...
commercial loans
a qualification that is absolutely necessary
risk management
break-even point

36. If a prospective business owner attempts to statistically study such factors as human population size - density - distribution - and wealth - we should refer to this as...
demographics
controlling; actuating
inventory turnover
manufacturing business

37. Rent is an example of a...
an entrepreneur
a qualification that is absolutely necessary
fixed expense
inventory turnover

38. A plan which provides inducements to potential purchasers of products and/or services is called...
Commercial loans; Venture capitalists
revolving account; open-end credit
sales promotions
credit application

39. Which of the following is an internal problem that can contribute to the failure of a business?
markdown
Financial shortages
variable expense
working capital

40. Legislation that guarantees disabled people equal access to employment - as well as access to public places - is known as...
inventory control considerations
Unlimited liability; Limited management ability
ADA
a business plan

41. The form of legal organization that is owned and operated by one person is the...
Credit customers are more interested in quality and service than price
the religion of the applicant
proprietorship
service business

42. Which of the following is NOT included on the employment application?

Warning: Invalid argument supplied for foreach() in /var/www/html/basicversity.com/show_quiz.php on line 183

43. Which of the following is an example of a variable expense?
CBD
Repairs
fixed capital
trade credit

44. Business interruption insurance covers
credit application
economic base
lost income
Some losses from bad debts and customers with fraudulent intentions are bound to occur

45. Which of the following are disadvantages of a partnership?
Installment credit
Divided authority among partners; Death or incapacity of one of the partners may end the partnership
Census of banking
mark-up

46. An external problem that can lead to small business failure is...
consumerism
a structured interview
the religion of the applicant
equity capital; personal capital

47. A strategy to minimize risk would be to...
Accessibility
Terms of the sale
have good management
Take on more risks

48. A written description of a new idea that projects marketing - operational - and financial aspects of a proposed business is known as a...
new venture plan; business plan
Financial shortages
Some losses from bad debts and customers with fraudulent intentions are bound to occur
equity capital

49. The practice of trying to get something that is being sought by others under similar circumstances at the same time is known as...
Efficiency of labor; Combined management - talent and capital
Equal Pay Act of 1963
competition
Legal restrictions on activities; Lack of personal interest

50. Which of the following are advantages of a corporation?
the religion of the applicant
Financial shortages
Personal checks
Large financial capacity; Limited liability of each owner (stockholder)