ESB CERTIFICATION TEST QUESTIONS WITH CORRECT ANSWERS
Entrepreneurship - (answer)Setting up business with the aim to make profit.
B2B (business-to-business) - (answer)Sells products and services directly to other businesses. Normally
requires a sales tax exemption certificate from the buyer.
B2C (business-to-consumer) - (answer)Sells products and services directly to customer for personal use.
Small buisness - (answer)A small business is when a business has less than 35.5 million dollars in
revenue, and fewer than 1,500 employees.
S corporation(Small businesses) - (answer)is a legal structure with 100 shareholders(U.S. citizens only)
MAX, who are not responsible for Liabilities. And they are only taxed once, and there is a separate tax
return for the business.
C Corporation (Companies) - (answer)is a legal structure used for when the company plans to sell stock
to the public. It has unlimited shareholders (not responsible for liabilities) that are taxed twice
(corporates level and income received). A separate tax return is required for business.
Sole Proprietorship - (answer)A business owned by one person that legally needs a DBA or business
license. The owner is responsible for liabilities, no separate tax needed (taxed once).
Limitied-Liability Company (LLC) - (answer)This is best for businesses concerned about liability
protection. It has unlimited owners who aren't responsible for liabilities, and can choose how they want
to be taxed. LLCs cannot go public.
Equity (business) - (answer)The amount an owner(s) would receive if their ownership interests in a
business (stock) were sold. (The money the owner has left over)
Equity Funding - (answer)Using money from investors to finance a project in exchange for shares in the
company. Can be used to raise working capitals.
, ESB CERTIFICATION TEST QUESTIONS WITH CORRECT ANSWERS
equity financing - (answer)money raised from within the firm, from operations or through the sale of
ownership in the firm (stock or venture capital). Advantage: there's no obligation to repay the money
acquired.
Piece work - (answer)work paid for according to the amount produced.
Salary - (answer)A fixed regular payment, typically paid on a monthly or biweekly basis but often
expressed as an annual sum.
Hourly - (answer)wage based on the amount of time worked (Minimum wage).
Commission - (answer)An amount paid to an employee based on a percentage of the employee's sales.
Business cycle - (answer)1. Existence
2. Survival
3. Success
4. Take- Off
5. Maturity
Elements of the design thinking process - (answer)1. Empathize: Research users needs
2. Define: State your users needs and problems
3. Ideate: Challenge Assumptions and create idea
4. Prototype: Create solutions
5. Test: Try your solutions
Cheif Executive Officer (CEO) - (answer)Highest ranking employee in the company; Reports to the board
of directors.
Chief Financial Officer (CFO) - (answer)Creates budgets, analyzes financial data, and forecast company
profits. (Finances)
Entrepreneurship - (answer)Setting up business with the aim to make profit.
B2B (business-to-business) - (answer)Sells products and services directly to other businesses. Normally
requires a sales tax exemption certificate from the buyer.
B2C (business-to-consumer) - (answer)Sells products and services directly to customer for personal use.
Small buisness - (answer)A small business is when a business has less than 35.5 million dollars in
revenue, and fewer than 1,500 employees.
S corporation(Small businesses) - (answer)is a legal structure with 100 shareholders(U.S. citizens only)
MAX, who are not responsible for Liabilities. And they are only taxed once, and there is a separate tax
return for the business.
C Corporation (Companies) - (answer)is a legal structure used for when the company plans to sell stock
to the public. It has unlimited shareholders (not responsible for liabilities) that are taxed twice
(corporates level and income received). A separate tax return is required for business.
Sole Proprietorship - (answer)A business owned by one person that legally needs a DBA or business
license. The owner is responsible for liabilities, no separate tax needed (taxed once).
Limitied-Liability Company (LLC) - (answer)This is best for businesses concerned about liability
protection. It has unlimited owners who aren't responsible for liabilities, and can choose how they want
to be taxed. LLCs cannot go public.
Equity (business) - (answer)The amount an owner(s) would receive if their ownership interests in a
business (stock) were sold. (The money the owner has left over)
Equity Funding - (answer)Using money from investors to finance a project in exchange for shares in the
company. Can be used to raise working capitals.
, ESB CERTIFICATION TEST QUESTIONS WITH CORRECT ANSWERS
equity financing - (answer)money raised from within the firm, from operations or through the sale of
ownership in the firm (stock or venture capital). Advantage: there's no obligation to repay the money
acquired.
Piece work - (answer)work paid for according to the amount produced.
Salary - (answer)A fixed regular payment, typically paid on a monthly or biweekly basis but often
expressed as an annual sum.
Hourly - (answer)wage based on the amount of time worked (Minimum wage).
Commission - (answer)An amount paid to an employee based on a percentage of the employee's sales.
Business cycle - (answer)1. Existence
2. Survival
3. Success
4. Take- Off
5. Maturity
Elements of the design thinking process - (answer)1. Empathize: Research users needs
2. Define: State your users needs and problems
3. Ideate: Challenge Assumptions and create idea
4. Prototype: Create solutions
5. Test: Try your solutions
Cheif Executive Officer (CEO) - (answer)Highest ranking employee in the company; Reports to the board
of directors.
Chief Financial Officer (CFO) - (answer)Creates budgets, analyzes financial data, and forecast company
profits. (Finances)
