Fundamentals of Business Planning Chapter Exam

Exam Instructions:

Choose your answers to the questions and click 'Next' to see the next set of questions. You can skip questions if you would like and come back to them later with the yellow "Go To First Skipped Question" button. When you have completed the practice exam, a green submit button will appear. Click it to see your results. Good luck!

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Question 1 1. What numbers are included in costs?

Question 2 2. What are the two categories compared in the break-even point?

Question 3 3. What are the types of business transactions?

Question 4 4. What is an ongoing transaction?

Question 5 5. What are some examples of marketing expenses?

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Question 6 6. What are some examples of administrative expenses?

Question 7 7. What does a business plan tell managers?

Question 8 8. Developing a financial plan is _____ to/for the success of any organization.

Question 9 9. If a company sells $20,000 of their inventory for $30,000 in cash, how does owners' equity change?

Question 10 10. Which of the following are 'assets?'

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Question 11 11. Why should a business calculate capital requirements?

Question 12 12. What are capital requirements?

Question 13 13. Economic business goals could be related to all of the following areas EXCEPT which?

Question 14 14. Profits in a business are _____ of a business.

Question 15 15. What is the main objective for the 'competition' part of any marketing plan?

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Question 16 16. The Flower Factory has completed its marketing research and found that the Northwest region of the United States has a demand for petunias. How might the marketing budget reflect with need?

Question 17 17. Once all tasks have been written into an action plan, what is a good next step?

Question 18 18. An action plan might include all of these components EXCEPT which?

Question 19 19. When a criminal case is tried, the stenographer writes down every word of the proceeding. How does the principle of monetary measurement differ?

Question 20 20. What accounting principle states that people involved in a transaction should not be personally related?

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Question 21 21. Which business entity affords its owner(s) the limited liability benefits of a corporation and the flexibility of a general partnership?

Question 22 22. Doug has found an attractive piece of land in a popular suburb north of Pittsburgh. He envisions developing the property into an area with many eateries and boutique shops surrounded by upscale townhomes, but he does not have the money to invest like his friend, James. Doug and James decide to form a _____, which will allow James to contribute his capital, receive a share of the profits, but limit his liability. Doug will manage the day-to-day operations.

Question 23 23. Molly has recently opened a small pet supply store and wants to figure out how much money she has to make before she breaks even. Her fixed costs on the store itself are $9,000, her average price per unit (or pet supply) is $6.50, and her variable costs per unit are around $0.90. What's the amount of money she has to make before she breaks even?

Question 24 24. What is a complex transaction?

Question 25 25. What are the two typical categories of operating expenses?

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Question 26 26. What does a break-even analysis do for an organization?

Question 27 27. What term refers to when each transaction has two sides: debit and credit?

Question 28 28. What types of outflows should we include in our capital requirements calculation?

Question 29 29. How do business objectives differ from goals?

Question 30 30. Which of the following is the first step of the marketing plan outline?

Fundamentals of Business Planning Chapter Exam Instructions

Choose your answers to the questions and click 'Next' to see the next set of questions. You can skip questions if you would like and come back to them later with the yellow "Go To First Skipped Question" button. When you have completed the practice exam, a green submit button will appear. Click it to see your results. Good luck!

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