ESB Certification Practice 1 2024/2025
Exam Questions and Answers | 100%
Solved
Define Entrepreneurship - 🧠ANSWER ✔✔Setting up a business with the
aim to make a profit.
Categorize B2B (business to business) vs B2C (business to consumer) -
🧠ANSWER ✔✔B2B:
"Wholesale flooring distributor" and "purchases requiring a tax exemption"
B2C:
"Chain of local grocery stores" and "motorcycle repair shop"
You need to create a legal structure for your small business. You would like
some of the benefits enjoyed by large corporations, but do not want to be
taxed twice. You have four partners who will be shareholders. None of you
plan to sell your ownership shares to the public, but do want to be
protected from business liabilities.
COPYRIGHT©PROFFKERRYMARTIN 2025/2026. YEAR PUBLISHED 2025. COMPANY REGISTRATION NUMBER: 619652435. TERMS OF USE.
1
PRIVACY STATEMENT. ALL RIGHTS RESERVED
,Which legal structure should you set up for your business? - 🧠ANSWER
✔✔S-Corporation
Identify the foundational concepts of entrepreneurship and small business
ownership.
For each statement about owners of equity in a business, select true of
false. - 🧠ANSWER ✔✔True:
"A partner owns equity" and "founders own equity."
False:
"All stakeholder owns equity" and "contractors own equity."
Identify the foundational concepts of entrepreneurship and small business
ownership.
Complete the sentence about company roles and responsibilities by
selection the correct option from each drop-down list. - 🧠ANSWER ✔✔An
COPYRIGHT©PROFFKERRYMARTIN 2025/2026. YEAR PUBLISHED 2025. COMPANY REGISTRATION NUMBER: 619652435. TERMS OF USE.
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PRIVACY STATEMENT. ALL RIGHTS RESERVED
, example of "Piece Work" compensation is paying field laborers for the
amount of fruit they pick.
A "Salary" employee receives a set amount of pay each month without
overtime compensation for extra hours worked.
Employees most affected by minimum wage laws are compensated
"Hourly."
An employee who is paid a percentage of a sale is paid by a "Commission."
Place that stages of the business life cycle in the correct order. -
🧠ANSWER ✔✔Stage 1: Existence
Stages 2: Survival of the Fittest
Stage 3: Success
COPYRIGHT©PROFFKERRYMARTIN 2025/2026. YEAR PUBLISHED 2025. COMPANY REGISTRATION NUMBER: 619652435. TERMS OF USE.
3
PRIVACY STATEMENT. ALL RIGHTS RESERVED
Exam Questions and Answers | 100%
Solved
Define Entrepreneurship - 🧠ANSWER ✔✔Setting up a business with the
aim to make a profit.
Categorize B2B (business to business) vs B2C (business to consumer) -
🧠ANSWER ✔✔B2B:
"Wholesale flooring distributor" and "purchases requiring a tax exemption"
B2C:
"Chain of local grocery stores" and "motorcycle repair shop"
You need to create a legal structure for your small business. You would like
some of the benefits enjoyed by large corporations, but do not want to be
taxed twice. You have four partners who will be shareholders. None of you
plan to sell your ownership shares to the public, but do want to be
protected from business liabilities.
COPYRIGHT©PROFFKERRYMARTIN 2025/2026. YEAR PUBLISHED 2025. COMPANY REGISTRATION NUMBER: 619652435. TERMS OF USE.
1
PRIVACY STATEMENT. ALL RIGHTS RESERVED
,Which legal structure should you set up for your business? - 🧠ANSWER
✔✔S-Corporation
Identify the foundational concepts of entrepreneurship and small business
ownership.
For each statement about owners of equity in a business, select true of
false. - 🧠ANSWER ✔✔True:
"A partner owns equity" and "founders own equity."
False:
"All stakeholder owns equity" and "contractors own equity."
Identify the foundational concepts of entrepreneurship and small business
ownership.
Complete the sentence about company roles and responsibilities by
selection the correct option from each drop-down list. - 🧠ANSWER ✔✔An
COPYRIGHT©PROFFKERRYMARTIN 2025/2026. YEAR PUBLISHED 2025. COMPANY REGISTRATION NUMBER: 619652435. TERMS OF USE.
2
PRIVACY STATEMENT. ALL RIGHTS RESERVED
, example of "Piece Work" compensation is paying field laborers for the
amount of fruit they pick.
A "Salary" employee receives a set amount of pay each month without
overtime compensation for extra hours worked.
Employees most affected by minimum wage laws are compensated
"Hourly."
An employee who is paid a percentage of a sale is paid by a "Commission."
Place that stages of the business life cycle in the correct order. -
🧠ANSWER ✔✔Stage 1: Existence
Stages 2: Survival of the Fittest
Stage 3: Success
COPYRIGHT©PROFFKERRYMARTIN 2025/2026. YEAR PUBLISHED 2025. COMPANY REGISTRATION NUMBER: 619652435. TERMS OF USE.
3
PRIVACY STATEMENT. ALL RIGHTS RESERVED
