Entrepreneurship and Small Business Management Exam Questions with Correct Answers 2025

Entrepreneurship and Small Business
Management Exam Questions with
Correct Answers 2025
1.ZWhichZofZtheZfollowingZisZaZtypeZofZintangibleZbusinessZpropertyZthatZisZprotectedZbyZlaw:

A.ZAcreage

B.ZInventory

C.ZTrademark

D.ZEquipmentZ-ZCORRECTZANSWERZ-C



BasicZtortsZrelatingZtoZbusinessesZoftenZinvolveZdisputesZconcerning

A.ZemotionalZstress.

B.Zassaults.

C.Zdefamation.

D.Zcontracts.Z-ZCORRECTZANSWERZ-D



3.ZWhichZofZtheZfollowingZisZaZcharacteristicZofZaZbusiness-formatZfranchise:

A.ZTheZnameZofZtheZbusinessZisZchosenZbyZtheZfranchisee.

B.ZProductsZareZboughtZdirectlyZfromZtheZsupplier.

C.ZItZisZtheZleastZpopularZfranchiseZarrangement.

D.ZContinuousZassistanceZisZprovidedZbyZtheZfranchisor.Z-ZCORRECTZANSWERZ-D



4.ZLimitedZliability,ZindefiniteZlengthZofZlife,ZeaseZofZexpansion,ZlegalZentity,ZandZtransferZofZownershipZare

consideredZadvantagesZofZa

A.ZsoleZproprietorship.

B.Zpartnership.

C.ZtradeZunion.

D.Zcorporation.Z-ZCORRECTZANSWERZ-D

,5.ZChannelsZofZdistributionZbenefitZconsumersZby

A.ZincreasingZprofitsZforZbusinesses.

B.ZloweringZtheZpricesZofZallZconsumerZproducts.

C.ZraisingZtheZqualityZofZallZconsumerZproducts.

D.ZmakingZaZvarietyZofZproductsZavailableZtoZthem.Z-ZCORRECTZANSWERZ-D



6.ZForZwhichZofZtheZfollowingZmarketsZwouldZproducersZuseZaZshortZchannelZofZdistribution:

A.ZLocalZconsumers

B.ZGenerationZX

C.ZBabyZboomers

D.ZSeniorZcitizensZ-ZCORRECTZANSWERZ-A



7.ZIfZaZbusinessZconsidersZwhereZtheZconsumersZareZandZwhoZtheyZareZbeforeZselectingZaZchannelZof

distribution,ZtheZbusinessZisZconsideringZtheZ__________Zfactor.

A.Zhuman

B.Zpromotion

C.Zmarket

D.ZsalesZ-ZCORRECTZANSWERZ-C



8.ZWhatZdoZbusinessZemployeesZoftenZneedZtoZdoZbeforeZtheyZareZableZtoZwriteZproposals?

A.ZResearchZtheZproblem

B.ZAnalyzeZpersonalZbiases

C.ZContactZtheZcustomer

D.ZEvaluateZtechnicalZskillsZ-ZCORRECTZANSWERZ-A



9.ZWhichZofZtheZfollowingZisZanZexampleZofZaZmanagerZdevelopingZaZpolicyZthatZimpactsZcustomerZrelations
:

A.ZIncreasingZuseZofZsecurityZdevices

B.ZExtendingZbusinessZhoursZonZweekends

, C.ZRevisingZbookkeepingZprocedures

D.ZSchedulingZemployees'ZworkZhoursZ-ZCORRECTZANSWERZ-B



10.ZWhatZshouldZaZsuccessfulZbrandZpromiseZbeZableZtoZdo?

A.ZCustomizeZtheZproductZforZeachZcustomer

B.ZClarifyZtheZcompany'sZprocesses

C.ZCommunicateZanZappealingZbenefit

D.ZConveyZaZhigh-qualityZimageZ-ZCORRECTZANSWERZ-C



11.ZWhichZofZtheZfollowingZisZoneZwayZthatZfreedomZinZaZprivateZenterpriseZsystemZisZlimitedZbyZlaws:

A.ZCertainZoccupationsZmustZbeZlicensed.

B.ZAllZworkersZmustZtakeZabilityZtests.

C.ZSpecificZpayZscalesZareZregulated.

D.ZEmployeesZmustZregisterZwithZtheZstate.Z-ZCORRECTZANSWERZ-A



12.ZDuringZtheZmonthZofZJuly,ZsalesZatZHandy'sZShoeZMartZtotaledZ$2,500.ZTheZcostZofZtheZshoesZwasZ$1,02
5.

TheZownerZpaidZ$866ZforZsupplies,Zinsurance,Zrent,ZandZutilitiesZduringZtheZmonth.ZTheZ$609ZleftZover

representsZtheZowner's

A.ZnetZprofit.

B.ZgrossZprofit.

C.ZsalesZincome.

D.ZoperatingZexpenses.Z-ZCORRECTZANSWERZ-A



13.ZNon-corporationsZareZtaxedZasZpass-throughZentities,ZmeaningZthat

A.ZprofitsZandZlossesZareZclaimedZonZowners'ZpersonalZtaxZreturns.

B.ZtheyZdoZnotZhaveZtoZpayZpayrollZtaxes.

C.ZtheirZincomeZtaxZratesZareZlowerZthanZthoseZofZcorporations.

D.ZtheyZpayZonlyZstateZandZlocalZtaxes.Z-ZCORRECTZANSWERZ-A