Business MCQ

Question 1

Define Entrepreneur

Answer 1

An entrepreneur is someone who starts or owns a business.

Question 2

Define Intraprenuership

Answer 2

intrapreneurs are individuals who are tasked with creating new and innovative products within an already-established business.

Question 3

Define Business Entities

Answer 3

Refers to a legally recognized organization that engages in commercial, industrial, or professional activities to earn profits
An organization that has been formed to conduct business.

Question 4

What are the types of business entities?

Answer 4

Sole Proprietorship: 1 person or married couple is the sole owner and operator of the business and does not need to enter a general partnership with the state (has unconditional and full control over its business).
General Partnership: 2 or more owners of the business, they all equally and actively participate in the business as they share profit and losses
Limited Partnerships: Types of partnerships or organizations that limit the personal liability of some partners
C cooperation: When the owners or shareholders are taxed separately from the entity

Question 5

Sole Proprietorship Examples:

Answer 5

Housekeeper
Beauty Parlor
Convenience store
Photographer
Daycare operator

Question 6

General Partnership examples

Answer 6

Law Firms
Medical Centers
Architectural Firms

Question 7

LPC Examples:

Answer 7

Cafe
Bakery
Restaurant

Question 8

What are some Financial and non-financial objectives when starting a business?

Answer 8

Financial Objectives:
- Survival
- Sales
- Profit
- Market Share
- Financial security
Non-Financial Objectives:
- Social entreprenuership
- Personal Satisfaction
- Challenge

Question 9

What are stakeholders?

Answer 9

A person or organization that has a direct interest in or is affected by the performance of the business.

Question 10

Define Shareholders

Answer 10

A person, company, or other institution that owns at least one share in a company.

Question 11

Internal and external stakeholders

Answer 11

External stakeholders are those that operate outside of your organization, such as:
- suppliers, competitors, communities, government, customers
Internal stakeholders are members of the organization such as:
- Employees, managers, owners

Question 12

Why do Businesses become MNCs?

Answer 12

increased customer base
cheaper production costs
brand development and brand values
Spread risks