FSE 214: 2024 Final Exam Review - Funeral
Service Education
Business - correct answer ✔✔An organization that combines inputs of raw materials, capital, labor and
management skills to produce useful outputs of goods and services so as to earn a profit.
Small Business - correct answer ✔✔A business which is independently owned and operated and is not
dominant in its field of operations.
Entrepreneur - correct answer ✔✔One who organizes, manages, and assumes the risk of a business firm
or venture.
Venture Capitalist - correct answer ✔✔Someone who invests funds in a new business without owning
the business.
Business Angels - correct answer ✔✔Private investors who are willing to supply financing for new and/or
risky small business firms in a community.
Artisan Entrepreneur - correct answer ✔✔An entrepreneur who primarily possesses technical
knowledge, but has very little, if any, business experience.
Consumerism - correct answer ✔✔The emphasis placed on providing to customers products and
services that are safe, reliable, and honestly advertised; also a social movement that seeks to strengthen
the rights of consumers relative to sellers.
Drawbacks of Entrepreneurship - correct answer ✔✔-You are responsible for the financial risk of the
business
-You face emotional strain from the business
-You may have to work long hours to start the business
External causes of business failure - correct answer ✔✔-Lack of owner finances
,-General types of businesses
-Manufacturing
-Merchandising
-Services
Articles of a partnership - correct answer ✔✔A written document that states explicitly the rights and
duties of partners in a partnership.
Board of Directors - correct answer ✔✔The governing body that is elected by the stockholders of a
corporation.
Corporate Chapter - correct answer ✔✔The written application for permission to incorporate that is
approved by a state official
Partnership - correct answer ✔✔A form of legal organization in which a business association made up of
two or more persons is formed for the purpose of carrying on as co-owners.
Sole Proprietorship - correct answer ✔✔A legal form of organization whereby the business is owned and
operated by one person.
-An ADVANTAGE of a sole proprietorship is that the owner is free to manage the firm in the way he/she
sees fit.
Limited Partner - correct answer ✔✔Those partners which can only lose the amount of money they
invested in a partnership.
Corporation - correct answer ✔✔A legal form of organization whereby a legal entity is authorized by a
state to operate.
Disadvantages of Partnership - correct answer ✔✔-Investments of both parties are frozen by a decision
by either party.
-Control, duties and profits are sometimes not evenly divided
, -Labor may not be divided equally between partners
Disadvantages of Sole Proprietorship - correct answer ✔✔-Raising capital may be a hardship on the
owner.
Disadvantages of a corporation may be: - correct answer ✔✔-Privacy in business operations and dealings
-Double taxation
Rewards of Entrepreneurship - correct answer ✔✔-You receive all profit
-Independence in direction of business
-You can receive personal satisfaction from the business
Characteristics of an entrepreneur - correct answer ✔✔- willing to take risks
- need for achievement
- self-confident
- Internal focus of control: believes that each person controls his/her own destiny
Corporate Refugees - correct answer ✔✔Those individuals who flee the bureaucratic environment of big
business by going into business for themselves.
General Manager - correct answer ✔✔The person who functions as the administrator of a business.
A contribution of a small business is: - correct answer ✔✔stimulate economic competition
Manufactoring - correct answer ✔✔The type of business activity that makes finished good from raw
materials by hand or machinery
Merchandising - correct answer ✔✔The type of business activity which purchases finished products for
resale.
Service Education
Business - correct answer ✔✔An organization that combines inputs of raw materials, capital, labor and
management skills to produce useful outputs of goods and services so as to earn a profit.
Small Business - correct answer ✔✔A business which is independently owned and operated and is not
dominant in its field of operations.
Entrepreneur - correct answer ✔✔One who organizes, manages, and assumes the risk of a business firm
or venture.
Venture Capitalist - correct answer ✔✔Someone who invests funds in a new business without owning
the business.
Business Angels - correct answer ✔✔Private investors who are willing to supply financing for new and/or
risky small business firms in a community.
Artisan Entrepreneur - correct answer ✔✔An entrepreneur who primarily possesses technical
knowledge, but has very little, if any, business experience.
Consumerism - correct answer ✔✔The emphasis placed on providing to customers products and
services that are safe, reliable, and honestly advertised; also a social movement that seeks to strengthen
the rights of consumers relative to sellers.
Drawbacks of Entrepreneurship - correct answer ✔✔-You are responsible for the financial risk of the
business
-You face emotional strain from the business
-You may have to work long hours to start the business
External causes of business failure - correct answer ✔✔-Lack of owner finances
,-General types of businesses
-Manufacturing
-Merchandising
-Services
Articles of a partnership - correct answer ✔✔A written document that states explicitly the rights and
duties of partners in a partnership.
Board of Directors - correct answer ✔✔The governing body that is elected by the stockholders of a
corporation.
Corporate Chapter - correct answer ✔✔The written application for permission to incorporate that is
approved by a state official
Partnership - correct answer ✔✔A form of legal organization in which a business association made up of
two or more persons is formed for the purpose of carrying on as co-owners.
Sole Proprietorship - correct answer ✔✔A legal form of organization whereby the business is owned and
operated by one person.
-An ADVANTAGE of a sole proprietorship is that the owner is free to manage the firm in the way he/she
sees fit.
Limited Partner - correct answer ✔✔Those partners which can only lose the amount of money they
invested in a partnership.
Corporation - correct answer ✔✔A legal form of organization whereby a legal entity is authorized by a
state to operate.
Disadvantages of Partnership - correct answer ✔✔-Investments of both parties are frozen by a decision
by either party.
-Control, duties and profits are sometimes not evenly divided
, -Labor may not be divided equally between partners
Disadvantages of Sole Proprietorship - correct answer ✔✔-Raising capital may be a hardship on the
owner.
Disadvantages of a corporation may be: - correct answer ✔✔-Privacy in business operations and dealings
-Double taxation
Rewards of Entrepreneurship - correct answer ✔✔-You receive all profit
-Independence in direction of business
-You can receive personal satisfaction from the business
Characteristics of an entrepreneur - correct answer ✔✔- willing to take risks
- need for achievement
- self-confident
- Internal focus of control: believes that each person controls his/her own destiny
Corporate Refugees - correct answer ✔✔Those individuals who flee the bureaucratic environment of big
business by going into business for themselves.
General Manager - correct answer ✔✔The person who functions as the administrator of a business.
A contribution of a small business is: - correct answer ✔✔stimulate economic competition
Manufactoring - correct answer ✔✔The type of business activity that makes finished good from raw
materials by hand or machinery
Merchandising - correct answer ✔✔The type of business activity which purchases finished products for
resale.
