logo image

Business test 3

The majority of businesses today are formed as____
sole proprietorships
Sole proprietors have ___ for the debts of their companies
unlimited liability
Historically, the three basic forms of business ownership in the United states have been the:___
sole proprietorship, partnership, and corporation
Which of the following is not an accurate statement about a sole proprietorshi?
legally the business is considered separate and distant from its owner
A ____ is a voluntary agreement betwee two or more people to jointly own a business
partnership
A ____ is a oluntary agreement between two or more people to joiny own a business
partnership
A ___ is a legal entity created by permission of a state or federal government
corporation
____ are people willing to take the risk of starting, owning and operating a business
Entrepreneurs
A true entrepreneur, Steve Jobs of APPLE aimed to change the world through the introduction of blockbuster business concept. Most people who launch new firms expect to better themseves, but only ____ expect huge transformative growth on the order of Walmart
30%
all of the following are entrepreneurial characteristics, EXCEPT
aversion to risk
_____ are wealthy individuals who invest in new and growing fimrs
Angel investors
Sources of start-up funding include:
personal savings
credit cards
family and friends
all of the sources in this list
Entrepreneurs must understand that no conventional lender, whether private or public, will:
loan 100 percent of the start-up funding
In a business plan, a commercial lender would expect to find
a description of the business, competitive analysis, operating procedures, and financial data
____ is a system for recognizing, recording, organizing, summarizing, analyzing and reporting information about the finacial transactionsthat affect an organization
Accounting
Managers, stockholders, employees, and creditors are:
all users of accounting information to assess a comany’s finances
Tiny Timber Tree Farms applied to United bank for a business loan. Which financial statements would the loan officer of the bank be most likely to request?
Balance sheets, income, statements and cash flow statements
____accountatnts provide individuals and businesses a wide variety of services on a fee basis, including income tax preparation, external audtiting services, and consultation on a variety of accouting issues and problems
Public
The major output of financial accouting is a set of statements including the:
balance sheet, income statemnt and statement of cash flows
The____ summarizes a firm’s sfinancial position at a specific point in time (i.e. a specific quarter or year)
balance sheet
The income statement shows that:
Revenue- Expenses = Net Income
The function of ___ is to determine the types of assets needed to achieve the goals of the organization and to determine the best way to ovtain the funds needed to acquire those assets
finance
Financial managers perform a number of functions including
Planning wise use of financial resources, including working capital decisions and investment opportunity decisions
A ___ measures the ability to pay short-term liabilities as they come due
liquidity ratio
A ____ measures the extent to which a firm relies on debt to meet its financing needs
Leverage ratio
Financial planning asks all the following questions EXCEPT
how does the firm determine its pricing strategy?
In its Narrowest sense, a firm’s _____consists of its holdings of currency and demand deposis
Cash
Firms that ____ may find that theycan achieve their objective by developing a relationship with a firm that offers factoring services
Rely heavily on credit sales and want to speed up their receipt of cash
the three basic types of securities corporations issue to raise long-term financial capital are____
common stock, preferred stock and bonds
___ are the after-tax distribution of profits to corporate owners
Dividends
Common stockholders have all of the following rights except:
the right to repayment of the principal
A stockholder will recognize a __ if upon selling his shares, he receives a higher price/hsare than the original price/ share that he paid for the stock
Capital gain
An initial ____ is the first time a corporation issues stock that may be purchased by the general public
public offering
Individula investors are not permitted to directly trade stockes on NYSE or NASDAQ. Therefore, individuals must seek the help of a____
broker
As owner of your company, you are condisdering expansion. Two options you might explore would be leasing a building or buying a building. You ask your finance Officer to explore the options. Your Finance Officer is liely to talk to
Accounting and CEO

Need essay sample on "Business test 3"? We will write a custom essay sample specifically for you for only .90/page

Can’t wait to take that assignment burden offyour shoulders?

Let us know what it is and we will show you how it can be done!
×
Sorry, but copying text is forbidden on this website. If you need this or any other sample, please register
Signup & Access Essays

Already on Businessays? Login here

No, thanks. I prefer suffering on my own
Sorry, but copying text is forbidden on this website. If you need this or any other sample register now and get a free access to all papers, carefully proofread and edited by our experts.
Sign in / Sign up
No, thanks. I prefer suffering on my own
Not quite the topic you need?
We would be happy to write it
Join and witness the magic
Service Open At All Times
|
Complete Buyer Protection
|
Plagiarism-Free Writing

Emily from Businessays

Hi there, would you like to get such a paper? How about receiving a customized one? Check it out https://goo.gl/chNgQy