G-Metrix Entrepreneurship & Small
Business v.2 - U.S Practice Exam 1
UPDATED QUESTIONS AND CORRECT
ANSWERS
What is Entrepreneurship? - CORRECT ANSWER Setting up a business with the aim to make
a profit.
clarify several businesses as either B2B or B2C - CORRECT ANSWER B2B:
•Wholesale flooring distributor
•Purchases requiring a tax exemption certificate
B2C:
•Motorcycle repair shop
•Chain of local grocery stores
You create a legal structure for your small business. Do you would like some of the benefits of
enjoyed by large corporations, but do not want to be taxed twice. You have four partners who will be
shareholders. None of you plan to sell your ownership shares to the public, but do want to be
protected from business liabilities. Which legal structure should you set up for your business? -
CORRECT ANSWER S-Corporation
For each statement about owners of equity in a business, select True or False. - CORRECT
ANSWER True:
• A partner owns equity.
• founders own equity.
False:
• contractors own equity.
• all stakeholders own equity.
Complete the sentence about Company roles and responsibilities by selecting the correct option for
each drop-down list. - CORRECT ANSWER An example of PIECE WORK compensation is
paying field laborers for the amount of fruit they pick.
, A SALARY employees a receives amount of pay each month without overtime compensation for
extra hours worked.
Employees most affected by minimum wage laws are compensated HOURLY.
An employee who is paid a percentage of a sale is paid by COMMISSION.
Place the stages of the business life cycle in the correct order. Move all of the stages to the answer
area and place them in the correct order. - CORRECT ANSWER Stage 1: existence
Stage 2: survival of the fittest
Stage 3: success
Stage 4: takeoff
Stage 5: maturity
Match each element of the design thinking process to its corresponding description. To answer, move
each element from the list on the left to it's description on the right. - CORRECT
ANSWER Research your users' needs: Empathize
State your users' needs and problems: Define
Challenge assumptions and create ideas: Ideate
Create solutions: Prototype
Try your solutions: Test
Successful entrepreneurs have mindsets that typically possess which three characteristics? -
CORRECT ANSWER Tenacious adaptable and responsible
Which is one of the greatest benefits of being an entrepreneur? - CORRECT
ANSWER Schedule control
Which three characteristics help identify a business opportunity? - CORRECT
ANSWER Either:
•Price
•Quality
•Selection
•location
•Service
Business v.2 - U.S Practice Exam 1
UPDATED QUESTIONS AND CORRECT
ANSWERS
What is Entrepreneurship? - CORRECT ANSWER Setting up a business with the aim to make
a profit.
clarify several businesses as either B2B or B2C - CORRECT ANSWER B2B:
•Wholesale flooring distributor
•Purchases requiring a tax exemption certificate
B2C:
•Motorcycle repair shop
•Chain of local grocery stores
You create a legal structure for your small business. Do you would like some of the benefits of
enjoyed by large corporations, but do not want to be taxed twice. You have four partners who will be
shareholders. None of you plan to sell your ownership shares to the public, but do want to be
protected from business liabilities. Which legal structure should you set up for your business? -
CORRECT ANSWER S-Corporation
For each statement about owners of equity in a business, select True or False. - CORRECT
ANSWER True:
• A partner owns equity.
• founders own equity.
False:
• contractors own equity.
• all stakeholders own equity.
Complete the sentence about Company roles and responsibilities by selecting the correct option for
each drop-down list. - CORRECT ANSWER An example of PIECE WORK compensation is
paying field laborers for the amount of fruit they pick.
, A SALARY employees a receives amount of pay each month without overtime compensation for
extra hours worked.
Employees most affected by minimum wage laws are compensated HOURLY.
An employee who is paid a percentage of a sale is paid by COMMISSION.
Place the stages of the business life cycle in the correct order. Move all of the stages to the answer
area and place them in the correct order. - CORRECT ANSWER Stage 1: existence
Stage 2: survival of the fittest
Stage 3: success
Stage 4: takeoff
Stage 5: maturity
Match each element of the design thinking process to its corresponding description. To answer, move
each element from the list on the left to it's description on the right. - CORRECT
ANSWER Research your users' needs: Empathize
State your users' needs and problems: Define
Challenge assumptions and create ideas: Ideate
Create solutions: Prototype
Try your solutions: Test
Successful entrepreneurs have mindsets that typically possess which three characteristics? -
CORRECT ANSWER Tenacious adaptable and responsible
Which is one of the greatest benefits of being an entrepreneur? - CORRECT
ANSWER Schedule control
Which three characteristics help identify a business opportunity? - CORRECT
ANSWER Either:
•Price
•Quality
•Selection
•location
•Service
