FBLA Entrepreneurship Test Questions With Verified Answers Latest 2024/2025 Graded A+

Most startup companies can expect to need _____ capital than they anticipate. - ANSWER More The primary cause of small business failures is: - ANSWER Management Mistakes Entrepreneurs tend to be overly ______ and misjudge the ______ requirements to start a new business. - ANSWER Optimistic; Financial The ability to develop new ideas is known as: - ANSWER Creativity Which one of the following is usually included on the cover page of the business plan? - ANSWER Disclaimer Which one of the following management skills should a prospective team member possess? - ANSWER Prepared to Recruit High-Quality People Which one of the following is not true regarding a business plan? - ANSWER A business plan is a document that describes the success factor of an ongoing business. Which one of the following is not a part of the executive summary section of the Business Plan? - ANSWER Competition Information Which one of the following is an overview of the business plan intended to capture reader interest? - ANSWER Executive Summary Which one of the following should be included in the environmental and industry analysis section of the business plan? - ANSWER Trends at the national and international levels that could influence the business. Which one of the following should be identified form among the main competitors to the planned business? - ANSWER Quality Leader FBLA Entrepreneurship Test Questions With Verified Answers – Latest 2024/2025 Graded A+ Which one of the following is not a part of the marketing research and evaluation section of the business plan? - ANSWER Potential for Long Term Growth All business plan information includes assumptions based on information available. How should this be addressed in the business plan? - ANSWER The differing results if and when results differ from projections should be included. Every business plan contains forecasts that include risk. What is one positive way to address risk? - ANSWER The business plan should present alternatives. Developing a business plan is a good way to: - ANSWER Prevent costly oversights in the creation of a business. Which one of the following is true concerning the product/service description section of the business plan? - ANSWER Plans to expand the product line or service. Which one of the following would be the most relevant important consideration in the selection of the right geographic location for a service business. - ANSWER Proximity to Customers Which one of the following benefits to the community in which the business is or will be located should be addressed in the business plan? - ANSWER Job Creation Which one of the following risks can be controlled or at least adequately prepared for? - ANSWER Unexpected Development Costs The financial plan section of the business plan is an important component. Which one of the following is not required? - ANSWER Statement of Changed in Equity Which one of the following would not be a recommended attribute for the business management team member? - ANSWER Someone Whom the Owner Knows Personally Which stage of the creative process involved viewing similarities and differences in the information collected? - ANSWER Transformation _____ is a process in which a small group of people interacts to produce a large quantity of imaginative ideas. - ANSWER Brainstorming A _______ is any distinctive word, phrase, symbol, name, or log a firm uses to distinguish itself or its products. - ANSWER Trademark Because of technology, entrepreneurs now have access to _______ opportunities. - ANSWER International GAAP stands for which one of the following? - ANSWER Generally Accepted Accounting Principles Which one of the following allows a firm to plan its short-term cash needs? - ANSWER Cash Budget Management Accounts Receivables does not include which one of the following? - ANSWER Providing incentives for customers to make larger purchases by reducing the prices. Which one of the following is not a factor in managing Accounts Receivable? - ANSWER Paying creditors for purchases timely. Which one of the following is an example of a single-entry accounting? - ANSWER Checkbook When a financial statement is depicted in percentages for each item it is: - ANSWER Common-Sized An accounting system should have the following characteristics. - ANSWER Easy to use, accurate, and consistent Establishing ________ will aid a business in developing key operational areas such as service and innovation. - ANSWER Core Competencies _______ is a road map of the tactics and actions an entrepreneur draws up to fulfill the company's mission, goals, and objectives. - ANSWER Strategy When determining the initial capital requirements for a business, what is the differentiation made regarding assets? - ANSWER Identifying assets as short-term or long-term. The small business can fail for a variety of reasons. There are actions that management can take to avoid most through careful planning. Which one is management least able to take action to avoid or recover from? - ANSWER Industry Weakness One way to reduce the need for a business to borrow is to carry little to no inventory and order items from the suppliers when they are sold to the customer. Which one of the following is not a risk related to this policy? - ANSWER Increased carrying costs to store inventory. Conditions are one of the five Cs of credit. Which one of the following phrases defines conditions? - ANSWER Current economic, industrial, and firm-specific prospects for the loan period. Capital is one of the five Cs of credit. Which one of following phrases defines capital? - ANSWER Borrower's financial net worth. Collateral is one of the five Cs of credit. Which one of the following phrases defines collateral? - ANSWER Resale value of the secure items if repossession becomes a reality. Character is one of the five Cs of credit. Which one of the following phrases defines character? - ANSWER Customer's integrity, willingness, and potential ability to repay the loan Capacity is one of the five Cs of credit. Which one of following phrases defines capacity? - ANSWER Ability to repay the debt from ongoing business operations. The five forces model includes potential entrants, suppliers, buyers, substitutes, and: - ANSWER Rivalry between existing firms. Which one of the following is not a source of primary data in marketing research? - ANSWER Census Reports Which one of the following describes customer-oriented pricing strategies? - ANSWER Focused on target markets and demands. A(n) ________ represents clients who buy or sell specialized goods or seasonal products. - ANSWER Broker A ________ is what a customer gains from the product or service feature. - ANSWER Benefit A _________ sells products to the ultimate consumer. - ANSWER Retailer Large companies primarily use a 1960s strategy called ________ as a way to encourage people to buy their products. - ANSWER Mass Marketing Which segmentation variable would be less productive regarding the 15-18 age group? - ANSWER Political Party Preference Which one of the following is not a source of secondary data in marketing research? - ANSWER Interviews