Question 1

The stage that precedes the middle stage in a successful venture's life cycle is called the:

Accepted Answer

A) rapid growth stage 
B) early-maturity stage 
C) development stage 
D) survival stage 
E) startup stage 
A) rapid growth stage 
B) early-maturity stage 
C) development stage 
D) survival stage 
E) startup stage

Question 2

Harry Dent documented major generation waves in the United States during the twentieth century in:

Accepted Answer

A) 1972 
B) 1982 
C) 1993 
D) 2003 
A) 1972 
B) 1982 
C) 1993 
D) 2003

Question 3

The type of financing that occurs during the development stage of a venture's life cycle is typically referred to as:

Accepted Answer

A) seed financing 
B) startup financing 
C) first round financing 
D) second round financing 
E) mezzanine financing 
A) seed financing 
B) startup financing 
C) first round financing 
D) second round financing 
E) mezzanine financing

Question 4

Entrepreneurial finance is the application and adaptation of financial tools and techniques to the planning,funding,operations,and valuation of an entrepreneurial venture.

Accepted Answer

A) True 
 B)False

Question 5

In 1982,Harry Dent identified several major or megatrends shaping U.S.society and the world.

Accepted Answer

A) True 
 B)False

Question 6

Venture character and reputation can be assets or liabilities.

Accepted Answer

A) True 
 B)False

Question 7

"Crises and bubbles" and "emerging economies and global change" are considered to be sources of entrepreneurial opportunities.

Accepted Answer

A) True 
 B)False

Question 8

The so-called "baby boom" generation applies to people born in the United States during the 1946-1964 time period.

Accepted Answer

A) True 
 B)False

Question 9

Small high-technology firms are responsible for twice as many product innovations per employee and obtain more patents per sales dollar than large high-technology firms.

Accepted Answer

A) True 
 B)False

Question 10

About one-half of all newly created businesses in the U.S.are dissolved or cease operations within how many years after being started?

Accepted Answer

A) two years 
B) four years 
C) six years 
D) eight years 
A) two years 
B) four years 
C) six years 
D) eight years

Question 11

Assume that you can sell a new product at $5.00 per unit.Your variable costs are $3.00 per unit and you fixed costs are $20,000.What is your breakeven point in sales units?

Accepted Answer

A) 5,000 
B) 7,500 
C) 10,000 
D) 12,500 
E) 15,000 
A) 5,000 
B) 7,500 
C) 10,000 
D) 12,500 
E) 15,000

Question 12

Indicate the number of principles of entrepreneurial finance that are emphasized in this textbook:

Accepted Answer

A) one 
B) three 
C) five 
D) seven 
E) nine 
A) one 
B) three 
C) five 
D) seven 
E) nine

Question 13

The "time value of money" is an important component of the rent one pays for using someone else's financial capital.

Accepted Answer

A) True 
 B)False

Question 14

Small businesses,those with less than 500 employees,represent over 99 percent of all employers,and account for about one-half of the gross domestic product in the United States.

Accepted Answer

A) True 
 B)False

Question 15

While cash is the language of business,accounting is the currency.

Accepted Answer

A) True 
 B)False

Question 16

Which of the following is not a life cycle stage of a successful venture?

Accepted Answer

A) development stage 
B) startup stage 
C) survival stage 
D) cash cow stage 
E) early-maturity stage 
A) development stage 
B) startup stage 
C) survival stage 
D) cash cow stage 
E) early-maturity stage

Question 17

While one must be careful to avoid too many generalizations about entrepreneurial traits or characteristics,which one of the following characteristics would not normally be associated with successful entrepreneurs?

Accepted Answer

A) being able to see and seize a commercial opportunity 
B) planning for the venture's future 
C) only being able to see an opportunity after it ceases to be one 
D) being optimistic about the venture's success 
A) being able to see and seize a commercial opportunity 
B) planning for the venture's future 
C) only being able to see an opportunity after it ceases to be one 
D) being optimistic about the venture's success

Question 18

An entrepreneur is an individual who thinks,reasons,and acts to convert ideas into commercial opportunities and to create value.

Accepted Answer

A) True 
 B)False

Question 19

Financial markets where customized contracts or securities are negotiated,created,and held with restrictions on how they can be transferred are called:

Accepted Answer

A) private financial markets 
B) public financial markets 
C) domestic financial markets 
D) international financial markets 
E) all of the above 
A) private financial markets 
B) public financial markets 
C) domestic financial markets 
D) international financial markets 
E) all of the above

Question 20

Entrepreneurial opportunities can occur only when there are societal changes in the world.

Accepted Answer

A) True 
 B)False

The stage that precedes the middle stage in a successful venture's life cycle is called the:

Harry Dent documented major generation waves in the United States during the twentieth century in:

The type of financing that occurs during the development stage of a venture's life cycle is typically referred to as:

Entrepreneurial finance is the application and adaptation of financial tools and techniques to the planning,funding,operations,and valuation of an entrepreneurial venture.

In 1982,Harry Dent identified several major or megatrends shaping U.S.society and the world.

Venture character and reputation can be assets or liabilities.

"Crises and bubbles" and "emerging economies and global change" are considered to be sources of entrepreneurial opportunities.

The so-called "baby boom" generation applies to people born in the United States during the 1946-1964 time period.

Small high-technology firms are responsible for twice as many product innovations per employee and obtain more patents per sales dollar than large high-technology firms.

About one-half of all newly created businesses in the U.S.are dissolved or cease operations within how many years after being started?

Assume that you can sell a new product at $5.00 per unit.Your variable costs are $3.00 per unit and you fixed costs are $20,000.What is your breakeven point in sales units?

Indicate the number of principles of entrepreneurial finance that are emphasized in this textbook:

The "time value of money" is an important component of the rent one pays for using someone else's financial capital.

Small businesses,those with less than 500 employees,represent over 99 percent of all employers,and account for about one-half of the gross domestic product in the United States.

While cash is the language of business,accounting is the currency.

Which of the following is not a life cycle stage of a successful venture?

While one must be careful to avoid too many generalizations about entrepreneurial traits or characteristics,which one of the following characteristics would not normally be associated with successful entrepreneurs?

An entrepreneur is an individual who thinks,reasons,and acts to convert ideas into commercial opportunities and to create value.

Financial markets where customized contracts or securities are negotiated,created,and held with restrictions on how they can be transferred are called:

Entrepreneurial opportunities can occur only when there are societal changes in the world.

Developing the Business Idea

Organizing and Financing a New Venture

Preparing and Using Financial Statements

Evaluating Operating and Financial Performance

Managing Cash Flow

Types and Costs of Financial Capital

Securities Law Considerations When Obtaining Venture Financing

Projecting Financial Statements

Valuing Early-Stage Ventures

Venture Capital Valuation Methods

Professional Venture Capital

Other Financing Alternatives

Security Structures and Determining Enterprise Values

Harvesting the Business Venture Investment

Financially Troubled Ventures: Turnaround Opportunities

Filters

Exam 1: Introduction to Finance for Entrepreneurs

The stage that precedes the middle stage in a successful venture's life cycle is called the:

Harry Dent documented major generation waves in the United States during the twentieth century in:

The type of financing that occurs during the development stage of a venture's life cycle is typically referred to as:

Entrepreneurial finance is the application and adaptation of financial tools and techniques to the planning,funding,operations,and valuation of an entrepreneurial venture.

In 1982,Harry Dent identified several major or megatrends shaping U.S.society and the world.

Venture character and reputation can be assets or liabilities.

"Crises and bubbles" and "emerging economies and global change" are considered to be sources of entrepreneurial opportunities.

The so-called "baby boom" generation applies to people born in the United States during the 1946-1964 time period.

Small high-technology firms are responsible for twice as many product innovations per employee and obtain more patents per sales dollar than large high-technology firms.

About one-half of all newly created businesses in the U.S.are dissolved or cease operations within how many years after being started?

Assume that you can sell a new product at $5.00 per unit.Your variable costs are $3.00 per unit and you fixed costs are $20,000.What is your breakeven point in sales units?

Indicate the number of principles of entrepreneurial finance that are emphasized in this textbook:

The "time value of money" is an important component of the rent one pays for using someone else's financial capital.

Small businesses,those with less than 500 employees,represent over 99 percent of all employers,and account for about one-half of the gross domestic product in the United States.

While cash is the language of business,accounting is the currency.

Which of the following is not a life cycle stage of a successful venture?

While one must be careful to avoid too many generalizations about entrepreneurial traits or characteristics,which one of the following characteristics would not normally be associated with successful entrepreneurs?

An entrepreneur is an individual who thinks,reasons,and acts to convert ideas into commercial opportunities and to create value.

Financial markets where customized contracts or securities are negotiated,created,and held with restrictions on how they can be transferred are called:

Entrepreneurial opportunities can occur only when there are societal changes in the world.

Developing the Business Idea

Organizing and Financing a New Venture

Preparing and Using Financial Statements

Evaluating Operating and Financial Performance

Managing Cash Flow

Types and Costs of Financial Capital

Securities Law Considerations When Obtaining Venture Financing

Projecting Financial Statements

Valuing Early-Stage Ventures

Venture Capital Valuation Methods

Professional Venture Capital

Other Financing Alternatives

Security Structures and Determining Enterprise Values

Harvesting the Business Venture Investment

Financially Troubled Ventures: Turnaround Opportunities

Filters