Gmetrix Exam 2

In general, which two characteristics define a "small" business?

• fewer than 1,500 employees

• less than $35.5 million revenue

• non-profit

• Between 500 and 2,500 employees

Which are Physical businesses?

• bakery in your community

• bookstore on amazon that sells ebooks

• hair salon that makes appointments online

• online store that dropships camping gear

You need to create a legal structure for your small business. You have plans for it to grow and hope in the future to sell shares to the public. Your startup partners are citizens of Mexico and Japan. You do not want to be personally responsible for business liabilities. Which legal structure should you set up for your business?

• S-corp

• C-corp

• LLC

• Partnership

You own a lawn care business. You have employees who work long hours laboring in good weather, often exceeding 40 hours per week. They also work short hours when the weather is bad, sometimes they can't work at all. You do all of the sales for your business. Which two types of compensation would be appropriate for these landscape employees?

• hourly

• commission

• Salary

• tips

Oversees the day-to-day administrative functions of a business; second in command.

• COO

• CIO

• CFO

• CEO

Develops policies and structures to protect company data.

• COO

• CIO

• CFO

• CEO

Creates budgets, analyzes financial data, and forecasts company profits.

• COO

• CIO

• CFO

• CEO

The highest-ranking employee in the company; reports to the board of directors.

• COO

• CIO

• CFO

• CEO

The business is separate from the owner with responsibilities delegated to staff. A business in this stage usually commands a considerable share of the market and may even be a household name.

• Maturity

• Success

• Takeoff

• Survival of the Fittest

• Existence

Company is stable and profitable.

• Maturity

• Success

• Takeoff

• Survival of the Fittest

• Existence