Question 1

Horizontal mergers are formed to ensure adequate supplies of raw materials.

Accepted Answer

A) True 
 B)False

Question 2

In 2009,Wal-Mart started doing business in India by forming a __________ with Bharti Enterprises,Inc. ,one of India's leading business groups.

Accepted Answer

A)  joint venture 
B)  Subsidiary 
C)  horizontal merger 
D)  vertical merger 
A)  joint venture 
B)  Subsidiary 
C)  horizontal merger 
D)  vertical merger

Question 3

The death of a shareholder does not result in the death of the corporation.

Accepted Answer

A) True 
 B)False

Question 4

Which of the following is a trend in the area of franchising?

Accepted Answer

A)  One out of every 14 working Canadians is employed by a franchise 
B)  Franchises are becoming less expensive to fund. 
C)  Franchisees determining their own pricing and marketing. 
D)  Franchisees are able to negotiate better pricing than franchisors. 
A)  One out of every 14 working Canadians is employed by a franchise 
B)  Franchises are becoming less expensive to fund. 
C)  Franchisees determining their own pricing and marketing. 
D)  Franchisees are able to negotiate better pricing than franchisors.

Question 5

Most small businesses get their start-up money from ________ .

Accepted Answer

A)  commercial banks 
B)  credit card companies 
C)  family members 
D)  investors 
A)  commercial banks 
B)  credit card companies 
C)  family members 
D)  investors

Question 6

A sole proprietor faces unlimited liability.

Accepted Answer

A) True 
 B)False

Question 7

Small start-up ventures looking for low-cost shared facilities can utilize _____,offered by local community agencies.

Accepted Answer

A) sole proprietorship 
B) small business 
C) corporation 
D) merger 
E) acquisition
F)horizontal merger
G)conglomerate merger
H)cooperative
I)vertical merger
J)business incubators
K)business plan
L)closed corporation
M)preferred stock
N)franchising 
A) sole proprietorship 
B) small business 
C) corporation 
D) merger 
E) acquisition
F)horizontal merger
G)conglomerate merger
H)cooperative
I)vertical merger
J)business incubators
K)business plan
L)closed corporation
M)preferred stock
N)franchising

Question 8

A(n)_____ is independently owned and operated,and is responsible for almost 30 percent of the nation's gross domestic product.

Accepted Answer

A) sole proprietorship 
B) small business 
C) corporation 
D) merger 
E) acquisition
F)horizontal merger
G)conglomerate merger
H)cooperative
I)vertical merger
J)business incubators
K)business plan
L)closed corporation
M)preferred stock
N)franchising 
A) sole proprietorship 
B) small business 
C) corporation 
D) merger 
E) acquisition
F)horizontal merger
G)conglomerate merger
H)cooperative
I)vertical merger
J)business incubators
K)business plan
L)closed corporation
M)preferred stock
N)franchising

Question 9

A merger of firms in unrelated industries is called a(n)_____.

Accepted Answer

A) sole proprietorship 
B) small business 
C) corporation 
D) merger 
E) acquisition
F)horizontal merger
G)conglomerate merger
H)cooperative
I)vertical merger
J)business incubators
K)business plan
L)closed corporation
M)preferred stock
N)franchising 
A) sole proprietorship 
B) small business 
C) corporation 
D) merger 
E) acquisition
F)horizontal merger
G)conglomerate merger
H)cooperative
I)vertical merger
J)business incubators
K)business plan
L)closed corporation
M)preferred stock
N)franchising

Question 10

People often choose to operate home-based firms for all but which one of the following reasons:

Accepted Answer

A)  They can choose to work when it suits them 
B)  Lower overhead costs 
C)  Better work-life balance 
D)  Zero start-up costs 
A)  They can choose to work when it suits them 
B)  Lower overhead costs 
C)  Better work-life balance 
D)  Zero start-up costs

Question 11

Owners of common stock are the last to receive any dividends.

Accepted Answer

A) True 
 B)False

Question 12

Some cooperatives are created so that small producers can be more competitive in the marketplace.

Accepted Answer

A) True 
 B)False

Question 13

Devon and Keith opened a restaurant as a partnership.Two years later,Keith left the restaurant,and Devon discovered that Keith had charged numerous expenses to their account.These expenses resulted in thousands of dollars worth of debt for the restaurant.What option does Devon have in this situation?

Accepted Answer

A)  He doesn't have to worry because,according to law,everyone is responsible for his/her own debts. 
B)  Business creditors will pursue Keith alone since his signature authorized payments. 
C)  Business creditors will expect Devon to pay at least half the debt since he owns 50 percent of the business. 
D)  Business creditors will expect full payment from Devon. 
A)  He doesn't have to worry because,according to law,everyone is responsible for his/her own debts. 
B)  Business creditors will pursue Keith alone since his signature authorized payments. 
C)  Business creditors will expect Devon to pay at least half the debt since he owns 50 percent of the business. 
D)  Business creditors will expect full payment from Devon.

Question 14

Which of the following statements regarding franchising is FALSE?

Accepted Answer

A)  Franchises are more risky than other forms of business ownership. 
B)  Franchisees have the benefit of name recognition. 
C)  Franchisors provide a wide range of support to franchisees. 
D)  Benefits for the franchisor include opportunities for expansion that might not otherwise be available. 
A)  Franchises are more risky than other forms of business ownership. 
B)  Franchisees have the benefit of name recognition. 
C)  Franchisors provide a wide range of support to franchisees. 
D)  Benefits for the franchisor include opportunities for expansion that might not otherwise be available.

Question 15

Define the concept of small business and identify the industries in which small businesses are established.

Accepted Answer

Small business in Canada is defined by S

Question 16

When the Canada Small Business Finance Program (CSBFP)assists a small business in applying for a major loan,it acts as the lender's ________.

Accepted Answer

A)  bank 
B)  savings and loan association 
C)  credit union 
D)  guarantor 
A)  bank 
B)  savings and loan association 
C)  credit union 
D)  guarantor

Question 17

The CEO of a corporation is automatically the chair of the board of directors.

Accepted Answer

A) True 
 B)False

Question 18

Explain how small businesses create new industries.

Accepted Answer

New industries are sometimes created whe

Question 19

Majority women-owned small and medium-sized enterprises produce annual commercial revenues of more than $72 billion..

Accepted Answer

A) True 
 B)False

Question 20

Franchising combines the freedom of business ownership with the support of a large company.

Accepted Answer

A) True 
 B)False

Horizontal mergers are formed to ensure adequate supplies of raw materials.

In 2009,Wal-Mart started doing business in India by forming a __________ with Bharti Enterprises,Inc. ,one of India's leading business groups.

The death of a shareholder does not result in the death of the corporation.

Which of the following is a trend in the area of franchising?

Most small businesses get their start-up money from ________ .

A sole proprietor faces unlimited liability.

Small start-up ventures looking for low-cost shared facilities can utilize _____,offered by local community agencies.

A(n)_____ is independently owned and operated,and is responsible for almost 30 percent of the nation's gross domestic product.

A merger of firms in unrelated industries is called a(n)_____.

People often choose to operate home-based firms for all but which one of the following reasons:

Owners of common stock are the last to receive any dividends.

Some cooperatives are created so that small producers can be more competitive in the marketplace.

Which of the following statements regarding franchising is FALSE?

Define the concept of small business and identify the industries in which small businesses are established.

When the Canada Small Business Finance Program (CSBFP)assists a small business in applying for a major loan,it acts as the lender's ________.

The CEO of a corporation is automatically the chair of the board of directors.

Explain how small businesses create new industries.

Majority women-owned small and medium-sized enterprises produce annual commercial revenues of more than $72 billion..

Franchising combines the freedom of business ownership with the support of a large company.

The Changing Face of Business

Business Ethics and Social Responsibility

Economic Challenges Facing Contemporary Business

Competing in World Markets

Starting Your Own Business: The Entrepreneurship Alternative

Management, Leadership, and the Internal Organization

Human Resource Management: From Recruitment to Labour Relations

Top Performance through Empowerment, Teamwork, and Communication

Production and Operations Management

Customer-Driven Marketing

Product and Distribution Strategies

Promotion and Pricing Strategies

Using Technology to Manage Information

Understanding Accounting and Financial Statements

The Financial System

Financial Management

Filters

Exam 5: Forms of Business Ownership and Organization

Horizontal mergers are formed to ensure adequate supplies of raw materials.

In 2009,Wal-Mart started doing business in India by forming a __________ with Bharti Enterprises,Inc. ,one of India's leading business groups.

The death of a shareholder does not result in the death of the corporation.

Which of the following is a trend in the area of franchising?

Most small businesses get their start-up money from ________ .

A sole proprietor faces unlimited liability.

Small start-up ventures looking for low-cost shared facilities can utilize _____,offered by local community agencies.

A(n)_____ is independently owned and operated,and is responsible for almost 30 percent of the nation's gross domestic product.

A merger of firms in unrelated industries is called a(n)_____.

People often choose to operate home-based firms for all but which one of the following reasons:

Owners of common stock are the last to receive any dividends.

Some cooperatives are created so that small producers can be more competitive in the marketplace.

Which of the following statements regarding franchising is FALSE?

Define the concept of small business and identify the industries in which small businesses are established.

When the Canada Small Business Finance Program (CSBFP)assists a small business in applying for a major loan,it acts as the lender's ________.

The CEO of a corporation is automatically the chair of the board of directors.

Explain how small businesses create new industries.

Majority women-owned small and medium-sized enterprises produce annual commercial revenues of more than $72 billion..

Franchising combines the freedom of business ownership with the support of a large company.

The Changing Face of Business

Business Ethics and Social Responsibility

Economic Challenges Facing Contemporary Business

Competing in World Markets

Starting Your Own Business: The Entrepreneurship Alternative

Management, Leadership, and the Internal Organization

Human Resource Management: From Recruitment to Labour Relations

Top Performance through Empowerment, Teamwork, and Communication

Production and Operations Management

Customer-Driven Marketing

Product and Distribution Strategies

Promotion and Pricing Strategies

Using Technology to Manage Information

Understanding Accounting and Financial Statements

The Financial System

Financial Management

Filters