Quiz 3

It simply describes how a product or service works and how it benefits the customers.

• product development

• product description

• creating a prototype

The objective of this method is to identify errors, deficiencies, and issues.

• safety test

• product costing test

• focus group discussion

A preliminary model of a new product that is created to test a product concept or service process.

• testing the prototype

• market acceptability

• prototype

This will tell on what to expect from the applicant and what he or she can potentially contribute to the business.

• work attitude

• specific skill

• work experience

This can be described as the "best friend" of manpower in producing goods and offering services.

• methods

• machines

• equipments

It is considered earned when the product is already sold or service rendered regardless if the business is paid in cash or credit.

• collateral

• capital

• revenue

It offers exactly the same product or services as the entrepreneur.

• external competitors

• direct competitors

• indirect competitors

A core financial statement that describes the financial position of the business.

• balance sheet

• Income statement

• Cash flow statement

A high-value asset that is submitted by the business when applying for a loan.

• Capital

• collateral

• Current assets

Is a performance measure used to evaluate the efficiency of an investment

• Financial plan

• market size

• return of investment