IOWA TEST STUDY Questions And Correct Verified Answers Guaranteed Pass.

Which of the following is not a persistent myth about entrepreneurs? - correct answer Solo entrepreneurs limit their potential for growth. Successful entrepreneurs are not gamblers; they take? - correct answer calculated risks For a successful entrepreneur, seeking and using ___________ is central to the habit of learning from mistakes and setbacks, and of responding to the unexpected. - correct answer Feedback Being opportunity-focused means never lose sight of what? - correct answer the customer and market Sarah invested $100 in her brother's coffee shop. The coffee shop was successful within two years. Her brother paid her $200 for her share of the business. Sarah's return on investment was: - correct answer 100% The legal structure of a new venture is typically described in detail in which section of the business plan? - correct answer Management What evidence could you provide that shows a strong and effective entrepreneurial team? - correct answer resumes, reference letters, past projects, certifications Using low cost or free techniques to minimize your cost of doing business is called bootstrapping. - correct answer True The dollar amount of a loan outstanding at a point in time, or the portion of a payment that represents a reduction in loan balance. - correct answer Principle The term used to describe money invested in anticipation of return over a long period of time as used in capital assets, capital investments, and capital improvements. - correct answer Capital Entrepreneurs are the mechanism by which our economy turns supply into demand. - correct answer False Which of the following should receive first consideration in the opportunity screening process? - correct answer the market Every business hopes to have a core of ________________________. - correct answer brand loyal consumer The funds left over after accounting for the cost of good sold is called: - correct answer Gross Profit Venture capitalists may provide financing in exchange for an equity position in the business. Start-up costs include: - correct answer Benefit packages, lawyer fees, taxes Companies are looking for returns on equity that are: - correct answer high and growing What is an excellent method for determining the overall financial condition of your small business? It puts the information from a financial statement into perspective, helping to spot financial patterns that may threaten the health of your company. - correct answer ratio analysis The legal structure of a new venture is typically described in detail in which section of the business plan? - correct answer Management What evidence could you provide that shows a strong and effective entrepreneurial team? - correct answer resumes, reference letters, past projects, certifications The first step in successful ____________ is understanding the consumer's motivations and decision-making process. - correct answer Marketing Using low cost or free techniques to minimize your cost of doing business is called bootstrapping. - correct answer True The dollar amount of a loan outstanding at a point in time, or the portion of a payment that represents a reduction in loan balance. - correct answer Principle The term used to describe money invested in anticipation of return over a long period of time as used in capital assets, capital investments, and capital improvements. - correct answer Capital A balance sheet, income statement, statement of changes in net worth and statement of cash flow, which are used to measure the financial condition of a business, are called ___________. - correct answer financial statements A financial statement that shows a listing of all assets and liabilities at a given point in time is called a ______________. - correct answer balance sheet The financial statement shows a summary of income and expenses over a give time period. In addition to cash income and expenses, it takes into account non-cash expenses like depreciation. That statement is called a(n) ___________. - correct answer income statement A financial statement which shows just cash money flowing in and out of the business is called a _____________. - correct answer cash flow statement