Small Business Management

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  1. a business that makes finished goods from raw materials by hand or machinery is referred to as a
    manufacturing business
  2. A business that purchases finished goods for resale is referred to as a
    merchandising business
  3. A particular business that provides a service as opposed to a product is referred to as a
    service business
  4. an individual that assumes the risks associated with a new venture start up can be referred to as a(n)
  5. a group of potential customers that are recognized as possessing purchasing power and unsatisfied needs defines
  6. the main objective in a market survey is
    to determine where the potential customers are
  7. any capital that is invested in a business by the owner(s) can be called
    equity capital
  8. any credit that is extended from one business to another in order to help  finance the distribution of goods from the producer is called
    trade credit
  9. long-term capital that is invested in a business is referred to as
    fix capital
  10. In a business, the # of times the average inventory is sold or used up can be referred to as
    inventory turnover
  11. a point in business operations whereby total sales revenue equals total costs
    break-even point
  12. if a prospective business owner attempts to statistically study such factors as human population size, distribution, and wealth, we would refer to this as
  13. the art of making the public aware of one's products and/or services that are for sale can be referred to as
  14. any effort undertaken to retain and preserve the assets and earning power of a business is called
    risk management
  15. factors associated with evaluating a credit risk would involve all of the following except
    • setting up a credit limit
    • credit application
    • credit investigation
    • inventory control considerations
  16. in business, a reduction of selling price below the original selling price is referred to as
  17. in a business, the name, goodwill, copyrights, and patents are referred to as
    intangible assets
  18. 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
  19. 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
  20. a management function which compares organization and individual performance with predetermined standards or expected results is known as
    evaluating, controlling
  21. a line of credit that may be used over and over again up to a certain borrowing limit is called
    revolving account and open-end credit
  22. capital that is invested in the business by the owners is known as
    equity capital and personal capital
  23. the difference btwn current assets and current liabilities is
    working capital and circulating capital
  24. what are the functions of management
    controlling and actuating
  25. what is an external problem and risk of business ownership
    tax burdens and human resource planning
  26. what is an intangible asset
    name of the business and goodwell
  27. what are the advantages of a sole proprietorship
    ease of starting and profit incentive
  28. what are the disadvantages of a sole proprietorship
    unlimited liability and limited management ability
  29. what are advantages of a partnership
    Efficiency of labor and combined management, talent and capital
  30. what are disadvantages of a partnership
    divided authority among partners and death or incapacity of one of the partners may end the partnership
  31. what are advantages of a corporation
    large financial capability and liability of each owner (stockholder)
  32. what are disadvantages of a corporation
    legal restrictions on activities and Lack of personal interest
  33. what is an example of debt capital
    commercial loans and venture capitalists
  34. what are the advantages of extending credit
    sales are increased and goodwill is built-up and easily maintained
  35. legislation that guarantees disabled ppl equal access to employment, as well as access to public places, is known as
  36. a governmental agency with the responsibility for regulatory and enforcement of safety and health matters for most US employees, is known as
  37. a type of credit granted by retailers that is used by individuals or families for the satisfaction of their own wants is known as
    consumer credit
  38. a form of legal organization in which a business association made up of two  or more persons in form for the purpose of carrying on as co-owners is know as a
  39. one who organizes, manages, and assumes the risk of a business firm or venture is known as
    an entrepreneur
  40. the current asset items consisting of cash, inventories, and accounts receivables is known as
    circulating capital
  41. the # of times the average inventory has been sold or used up during a period is know as
    inventory tuurnover
  42. what is NOT a consumer buying motive
  43. a document that lists the major responsibilities and tasks of the job is known as ajob
  44. the form of legal organization that is owned and operated by one person is the
  45. a legal form of organization whereby a legal entity is authorized by a state to operate a business under the entity's charter or articles of incorporation is know as a
  46. the combination of two or more individual's talents and capital serves s an advantage of the legal form of ownership known as
  47. a common business credit/sales term is
    2/10, N30
  48. rent is an example of a
    fixed expense
  49. what is NOT a characteristic of a small business
    Actively managed by stockholders
  50. the simplest and most common legal form of business ownership is
    sole proprietorship
  51. the statistical study of human populations with respect to their size, density, distribution composition, and income is known as
  52. capital that is in the business by the owner is known as
    equity capital
  53. a source of debt capital would include
    commercial loans
  54. a plan which provides inducements to potential purchasers of products and/or services is called
    sales promotions
  55. 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
    variable expense
  56. an interview whereby the applicant is asked a pre-determined set of questions is known is known as
    a structured interview
  57. what is an internal problem that can lead to business failure
    lack of expertise
  58. an external problem that can small business failure is
  59. a factor to be considered with the  evaluation of a credit risk would be the
    credit appliction
  60. what would NOT be an insurance risk to consider
    terms of the sale
  61. what is NOT a way to reduce risk
    take on more risks
  62. what is requirement for a building layout
  63. A BFOQ is
    a qualification that is absolutely neccessary
  64. what is NOT a type of consumer credit
    personal check
  65. the type of consumer credit where the balance is paid in small monthly (fractional) payments over a period of time is
    installment credit
  66. when selecting employees, the applicant's appearance, poise, speech, and other characteristics may best be determined by
    the employment interview
  67. the difference btwn merchandise cost and the selling price is known as the
  68. what is NOT included on the employment application
    application's sex
  69. what is an example of a variable expense
  70. the difference btwn current assets and current liabilities is
    working capital
  71. long term capital invested in the business is
    fix capital
  72. what is NOT an advantage of a corporation
    legal restrictions on activies
  73. what is recognized as a  disadvantage of extending credit
    some losses from bad debts and customers with fraudulent intentions are bond to occur
  74. what has the disadvantage of no limit being place on the owner's personal liability
  75. what is NOT used to measure the success of advertising
    income trends in the community
  76. what is a TRUE statement concerning consumer credit
    credit customer are more interested in quality and service than price
  77. a strategy available to absorb risks would be
    to self-insure
  78. a strategy to minimize risk would be to
    have good management
  79. whenever a business must pay for the merchandise before its delivery, what type of sale term would apply
  80. what federal laws affecting employment concerns prohibit wage discrimination based on the sex of the worker
    equal pay act of 1963
  81. the wealth produced in or near a community that provides employment and income to the local population is known as the
    economic base
  82. the practice of trying to get something that is being sought by others under similar circumstances at the same time is known as
  83. what is an internal problem that can contribute to the failure of a business
    financial shortage
  84. on a chart which plots sales, fixed and variable costs for a given period of time, the point where the sales and the total cost line intersect is called the
    break-even point
  85. 2/10, N/30 means
    a 2% discount if invoice is paid w/i 10 days, net due in 30 days
  86. what is NOT a consideration concerning the selection of suppliers
    whether or not they have an acceptable accounts receivable ratio
  87. what is NOT a factor which can affect the recruitment and selection of employees
    the religion of the applicant
  88. the principal goverment agency concerned with the financing, operation, and management of small business is the
    Small business Administration
  89. a written description of a new idea that projects marking, operational, and financial aspects of a proposed business is known as
    a business plan
  90. what is normally NOT a source of published market data
    census of banking
  91. what laws prohibits discrimination against any qualified individual with a disability
    americans with disabilities act
  92. what acts outlaws discrimination in employment based on race, color, religion, sex, pregnancy or natural origin
    civil rights act
  93. the quantity to be purchased which minimizes total cost is referred to as the
    economic order quantity
  94. business interruption insurance covers
    lost income
  95. life insurance that protects a firm against losses due to the death of a key employee is know as
    key person insurance
  96. the association of business firms that promotes ethical conduct by all business firms in a community is known as the
    better business breau
  97. an association of business ppl who attempt to protect and promote the commercial interests in a community is known as the
    chamber of commerce
  98. a management function which compares organizational and individual performance with predetermined standards or expected results is
  99. what refers to those activities which encourage subordinates to work toward the achievement of the company's goals
  100. selling a business's accounts receivable for cash to a third party is referred to as
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Small Business Management
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