Entrepreneurship I – Pre/Post Test

What is the definition of entrepreneurship?

• Working for a large corporation

• Starting and managing a business to make a profit

• Investing in the stock market

• Managing personal finances

Which of the following is a characteristic of an entrepreneur?

• Risk-taking

• Avoiding decision-making

• Preferring job security

• Following directions only

What is a business plan?

• A company logo

• A document outlining goals, strategies, and financial projections

• A tax return form

• An advertisement

Which of the following is an example of a fixed expense?

• Rent

• Marketing ads

• Utilities

• Employee bonuses

Which of the following best describes opportunity cost?

• The value of the option you gave up when making a choice

• The total revenue from sales

• The expenses of running a business

• The interest rate charged by a bank

Which type of business ownership gives the owner complete control but also unlimited liability?

• Partnership

• Corporation

• Sole proprietorship

• Franchise

What does the term target market refer to?

• All people everywhere

• The specific group of consumers a business aims to serve

• Business competitors

• Investors and banks

Which of the following is an example of a service business?

• Clothing store

• Lawn care company

• Bakery

• Furniture manufacturer

Which of the following is an advantage of owning a franchise?

• Higher startup costs

• Pre-established brand recognition

• Unlimited freedom to change the business

• No support from franchisor

What is marketing primarily concerned with?

• Making financial reports

• Buying supplies

• Promoting and selling products or services

• Hiring employees