RSM 100 - Exam | Questions with 100% Correct
Answers | Verified | Latest Update 2026
Save
Terms in this set (275)
What are Professor Khans 3 P's of Planning, Preparation, Perseverance
Success?
Study Break! Links week 1: https://www.youtube.com/watch?
v=BHY0FxzoKZE&t=129s&ab_channel=TED
https://www.nytimes.com/guides/well/be-more-
mindful-at-work
https://www.youtube.com/watch?
time_continue=1&v=4WFMt14dSoQ&feature=emb_lo
go
https://www.youtube.com/watch?v=PAs0gw1zIuQ
What is Wealth? The annual produce of the land and labour of
society
What is Wealth creation? Combining materials, ideas, labour, technology so
that the output can be sold for more than costs.
This profit brings wealth to the people and society
involved in production
What are the four stages of the Vibrant Entrepreneurship, Sophisticated
Diamond of Sustainable Growth? Managerial Capabilities, Enabling Political Systems,
Effective Financial Systems
,What are the resource endowments Natural, Technological, Human
in the Diamond of Sustainable
growth?
What is required to create wealth? The interdependence of business and society and
the diamond (Vibrant Entrepreneurship,
Sophisticated Managerial Capabilities, Enabling
Political Systems, Effective Financial Systems)
How is wealth created? Develop a product or service that you can sell for
more than it cost, Trade with economies that will
pay for what you have and sell you what you want
What is a Sole proprietorship? A business ownership in which the sole proprietor's
status as an individual is not legally separate from
his or her status as a business owner
What are the benefits and problems - Sole proprietorships are easy to set up (and
of Sole Proprietorships? dissolve), and offer great operating flexibility, but
the owner is personally liable for all of the firm's
debts and legal responsibilities. (the owner must
handle a wide range of management and
operational tasks) - The owner also has the right to
all profits after paying business-related bills and
taxes.
What is a Partnership? An association of two or more persons who
operate a business as co-owners by voluntary legal
agreement
, What are the benefits and problems - Partnerships are relatively easy to set up, but they
of Partnerships? do not protect either partner from liability.
- Partnerships require shared workload and
decision making, whereas sole proprietorships are
entirely the responsibility of one business owner.
- Businesses that are based on partnerships also
risk having personal conflicts.
What is a Corporation? A legal organization with assets and liabilities
separate from the assets and liabilities of its owners
What are the benefits and problems - Investors receive shares of stock in the firm, and
of Corporations? owners have no legal and financial liability beyond
their individual investments.
- Advantages: more funding Disadvantages: double
taxation - provincial and federal
What is a Not-For-Profit Organizations whose goals do not include
Corporation? pursuing a profit
What are the benefits and problems - Governments have separate legal provisions for
of Not-For-Profit Corporations? organizational structures and operations of not-
for-profit corporations. They are also exempt from
paying income taxes.
- The legal structure of a not-for-profit corporation
requires that its goals do not include earning a
profit.
What is Franchising? A contract-based business arrangement between a
manufacturer or other supplier, and a dealer, to
produce and market the supplier's good or service.
Ex: Subway, Tim Hortons
Answers | Verified | Latest Update 2026
Save
Terms in this set (275)
What are Professor Khans 3 P's of Planning, Preparation, Perseverance
Success?
Study Break! Links week 1: https://www.youtube.com/watch?
v=BHY0FxzoKZE&t=129s&ab_channel=TED
https://www.nytimes.com/guides/well/be-more-
mindful-at-work
https://www.youtube.com/watch?
time_continue=1&v=4WFMt14dSoQ&feature=emb_lo
go
https://www.youtube.com/watch?v=PAs0gw1zIuQ
What is Wealth? The annual produce of the land and labour of
society
What is Wealth creation? Combining materials, ideas, labour, technology so
that the output can be sold for more than costs.
This profit brings wealth to the people and society
involved in production
What are the four stages of the Vibrant Entrepreneurship, Sophisticated
Diamond of Sustainable Growth? Managerial Capabilities, Enabling Political Systems,
Effective Financial Systems
,What are the resource endowments Natural, Technological, Human
in the Diamond of Sustainable
growth?
What is required to create wealth? The interdependence of business and society and
the diamond (Vibrant Entrepreneurship,
Sophisticated Managerial Capabilities, Enabling
Political Systems, Effective Financial Systems)
How is wealth created? Develop a product or service that you can sell for
more than it cost, Trade with economies that will
pay for what you have and sell you what you want
What is a Sole proprietorship? A business ownership in which the sole proprietor's
status as an individual is not legally separate from
his or her status as a business owner
What are the benefits and problems - Sole proprietorships are easy to set up (and
of Sole Proprietorships? dissolve), and offer great operating flexibility, but
the owner is personally liable for all of the firm's
debts and legal responsibilities. (the owner must
handle a wide range of management and
operational tasks) - The owner also has the right to
all profits after paying business-related bills and
taxes.
What is a Partnership? An association of two or more persons who
operate a business as co-owners by voluntary legal
agreement
, What are the benefits and problems - Partnerships are relatively easy to set up, but they
of Partnerships? do not protect either partner from liability.
- Partnerships require shared workload and
decision making, whereas sole proprietorships are
entirely the responsibility of one business owner.
- Businesses that are based on partnerships also
risk having personal conflicts.
What is a Corporation? A legal organization with assets and liabilities
separate from the assets and liabilities of its owners
What are the benefits and problems - Investors receive shares of stock in the firm, and
of Corporations? owners have no legal and financial liability beyond
their individual investments.
- Advantages: more funding Disadvantages: double
taxation - provincial and federal
What is a Not-For-Profit Organizations whose goals do not include
Corporation? pursuing a profit
What are the benefits and problems - Governments have separate legal provisions for
of Not-For-Profit Corporations? organizational structures and operations of not-
for-profit corporations. They are also exempt from
paying income taxes.
- The legal structure of a not-for-profit corporation
requires that its goals do not include earning a
profit.
What is Franchising? A contract-based business arrangement between a
manufacturer or other supplier, and a dealer, to
produce and market the supplier's good or service.
Ex: Subway, Tim Hortons
