Question 1

Zoning is a system for mixing types of business and industrial activities in order to make maximum efficient use of the are
a.

Accepted Answer

A) True 
 B)False

Question 2

An effective manufacturing layout avoids what lean manufacturing principles identify as the seven forms of waste: transportation,inventory,motion,waiting,overproduction,processing,and defects.

Accepted Answer

A) True 
 B)False

Question 3

When evaluating existing buildings,retailers:

Accepted Answer

A) need to find the lowest cost per square foot possible due to the need for maximum display space. 
B) should locate in store space previously occupied by a similar type of business. 
C) should recognize that the store's appearance and layout create an image for the customers of the business. 
D) can discount the interior appearance of the building if it has a strong exterior appeal.

Question 4

A location that has housed several businesses that have failed within the past few years is likely to have a bad reputation and a negative image.

Accepted Answer

A) True 
 B)False

Question 5

Carmen is starting a childcare center.One location closed after a murder on the property and is near a neighborhood where there are many single parents.What city site selection factor might give Carmen problems with her childcare center?

Accepted Answer

A) Transportation 
B) Police and fire protection 
C) The reputation of the location 
D) Compatibility with the community

Question 6

A variance is a special exemption to a zoning ordinance.

Accepted Answer

A) True 
 B)False

Question 7

A specially designated area in or near a U.S.customs port of entry that allows resident companies to import materials and components from foreign counties; assemble,process,manufacture,or package them,and then ship the finished product back out while either reducing or eliminating tariffs and duties is a:

Accepted Answer

A) empowerment zone. 
B) foreign trade zone 
C) business incubator. 
D) trading area.

Question 8

Which of the following information is available from U.S.Census data?

Accepted Answer

A) The value of the homes in an area 
B) The number of rooms in the homes in an area 
C) Number of vehicles owned 
D) All of the above

Question 9

Geographic Information Systems (GIS)are powerful software programs that allow entrepreneurs to pinpoint the ideal location for their businesses.

Accepted Answer

A) True 
 B)False

Question 10

To calculate the IRS,a retailer needs to know the number of customers in the area,the retail expenditures for his product,and the total square feet of space allocated to selling his kind of product in the trading are
a.

Accepted Answer

A) True 
 B)False

Question 11

Zoning is a system that divides a city or country into small cells or districts to control the use of land,buildings,and sites.

Accepted Answer

A) True 
 B)False

Question 12

Retail compatibility describes the benefits a company receives by locating near other businesses selling complementary products and services.

Accepted Answer

A) True 
 B)False

Question 13

A store's external appearance plays only an insignificant role in identifying its "personality" or image to customers.

Accepted Answer

A) True 
 B)False

Question 14

Which of the following sections of a retail store would be most valuable?

Accepted Answer

A) Third floor 
B) Intersection of two secondary aisles 
C) The front right corner of the store 
D) The front left corner of the store

Question 15

A community center is an upscale shopping experience with specialty stores,dining and entertainment in an outdoor setting.

Accepted Answer

A) True 
 B)False

Question 16

________ offer new businesses the protection of low-cost locations and a multitude of support services in an attempt to improve the companies' chances of success.

Accepted Answer

A) Research parks 
B) Business incubators 
C) Industrial parks 
D) Discount malls

Question 17

The most important factor when evaluating the labor supply in an area is its prevailing wage rate.

Accepted Answer

A) True 
 B)False

Question 18

A foreign trade zone is an area designated as economically disadvantaged in which businesses get tax breaks on the investments they make within zone boundaries.

Accepted Answer

A) True 
 B)False

Question 19

Graduates from business incubators have a much higher success rate than the typical small business.

Accepted Answer

A) True 
 B)False

Question 20

Based on the above calculations,what is the entrepreneur's best option?

Accepted Answer

A) He should choose site #1. 
B) He should choose site #2. 
C) Neither site meets minimum criteria of $158 per square foot. 
D) Either site will work well since both meet minimum criteria of $158 per square foot.

Exam 14: Choosing the Right Location and Layout

Zoning is a system for mixing types of business and industrial activities in order to make maximum efficient use of the are a.

An effective manufacturing layout avoids what lean manufacturing principles identify as the seven forms of waste: transportation,inventory,motion,waiting,overproduction,processing,and defects.

When evaluating existing buildings,retailers:

A location that has housed several businesses that have failed within the past few years is likely to have a bad reputation and a negative image.

Carmen is starting a childcare center.One location closed after a murder on the property and is near a neighborhood where there are many single parents.What city site selection factor might give Carmen problems with her childcare center?

A variance is a special exemption to a zoning ordinance.

Which of the following information is available from U.S.Census data?

Geographic Information Systems (GIS)are powerful software programs that allow entrepreneurs to pinpoint the ideal location for their businesses.

To calculate the IRS,a retailer needs to know the number of customers in the area,the retail expenditures for his product,and the total square feet of space allocated to selling his kind of product in the trading are a.

Zoning is a system that divides a city or country into small cells or districts to control the use of land,buildings,and sites.

Retail compatibility describes the benefits a company receives by locating near other businesses selling complementary products and services.

A store's external appearance plays only an insignificant role in identifying its "personality" or image to customers.

Which of the following sections of a retail store would be most valuable?

A community center is an upscale shopping experience with specialty stores,dining and entertainment in an outdoor setting.

________ offer new businesses the protection of low-cost locations and a multitude of support services in an attempt to improve the companies' chances of success.

The most important factor when evaluating the labor supply in an area is its prevailing wage rate.

A foreign trade zone is an area designated as economically disadvantaged in which businesses get tax breaks on the investments they make within zone boundaries.

Graduates from business incubators have a much higher success rate than the typical small business.

Based on the above calculations,what is the entrepreneur's best option?