This quiz works best with JavaScript enabled. Home > Cbse > Class 11 > Commerce > Business Studies > Class 11 Business Studies Chapter 8 Small Business – Quiz 34 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Class 11 Business Studies Chapter 8 Small Business Quiz 34 (60 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. Small businesses are important to the U.S. economy for all of the following reasons except ..... A) Pay 40 percent of total U.S. private payroll. B) They have generated 50 percent of net new jobs over the past 20 years. C) They employ about half of all private-sector employees. D) That they represent 99.9 percent of all employer firms. Show Answer Correct Answer: B) They have generated 50 percent of net new jobs over the past 20 years. 2. Saying "you have a really bad taste" to a customer in a negotiation is ..... to a successful negotiation:(KLO 2.3 A) A) A) A barrier. B) B) Allowing. C) C) Helpful. D) D) None of the above. Show Answer Correct Answer: A) A) A barrier. 3. Also known as "grapevine" communication A) Formal communication. B) Non-verbal communication. C) Informal communication. D) Verbal communication. Show Answer Correct Answer: C) Informal communication. 4. Maintain a physical distance of at least ..... between others. A) 10 feet. B) 1 meter. C) 10 meters. D) 2 meters. Show Answer Correct Answer: D) 2 meters. 5. A necessary service to protect a business from closing due to an unplanned and costly accident or event is ..... A) Accounting system. B) Launch plan. C) Capital. D) Insurance. Show Answer Correct Answer: D) Insurance. 6. What does critical thinking in entrepreneurship involve? A) Bringing new and unconventional ideas. B) Solving problems using a variety of possible solutions. C) Working towards a goal without direction. D) Preventing unethical behavior. Show Answer Correct Answer: B) Solving problems using a variety of possible solutions. 7. True or False:Elements of a Sales Process are in the correct order (you have to be able to put these in order!)Prospecting>Preparation>Approach>Presentation>Handling Objections>Closing>Follow-Up A) True. B) False. C) All the above. D) None of the above. Show Answer Correct Answer: A) True. 8. The CANSTAR website is an example of a site which includes all the information you need to be able to check your: A) Loan interest rate. B) Taxation liability. C) Credit rating. D) Loan repayment date. Show Answer Correct Answer: C) Credit rating. 9. Entrepreneurs who guide and support their employees to grow the business and be a role model for others are A) A leader. B) A risk taker. C) Creative. D) Ambitious. Show Answer Correct Answer: A) A leader. 10. What are two volunteer groups that provide free management consulting for small business owners through the SBA? A) Consulting Executives Alliance and Business Support Group. B) Service Corps of Retired Executives and Active Corps of Executives. C) Senior Corps and Business Corps. D) Management Volunteers Network and Business Mentor Association. Show Answer Correct Answer: B) Service Corps of Retired Executives and Active Corps of Executives. 11. Risiko bagi pemilik bisnis yang memiliki perusahaan terbatas, karena mereka dijamin menerima inisialnya investasi kembali A) Benar. B) Salah. C) All the above. D) None of the above. Show Answer Correct Answer: B) Salah. 12. Bank overdraft is A) Available for all business. B) Classified as a current liability. C) Free from interest. D) Ongoing for a business. Show Answer Correct Answer: B) Classified as a current liability. 13. Low start up costs and control over decisions is an advantage of what type of business ownership A) Franchise. B) Partnership. C) Sole Trader. D) Limited liability. Show Answer Correct Answer: C) Sole Trader. 14. What is the Small Business Administration (SBA) responsible for? A) Providing financial, technical, and management assistance. B) Enforcing business regulations and laws. C) Promoting large corporations. D) Supporting non-profit organizations. Show Answer Correct Answer: A) Providing financial, technical, and management assistance. 15. Assets that are not already pledged as a guarantee to repay another loan. A) Unencumbered Assets. B) Credit. C) All the above. D) None of the above. Show Answer Correct Answer: A) Unencumbered Assets. 16. A business owned by people who purchase stock in the company. These businesses are granted a charter by the state in which they are formed. A) Partnership. B) Corporation. C) Proprietorship. D) Industrial Organization. Show Answer Correct Answer: B) Corporation. 17. What's the difference between entrepreneurs and small business owners? A) Small business owners are more willing to take on unknown risks. B) Entrepreneurs are focused on producing profits. C) Small business owners are not always interested in taking on new business opportunities. D) Entrepreneurs are not always interested in taking on new business opportunitiesTagsgeneral. Show Answer Correct Answer: C) Small business owners are not always interested in taking on new business opportunities. 18. How many qualitative characteristics are there? A) 7. B) 5. C) 6. D) 4. Show Answer Correct Answer: C) 6. 19. What are the four steps in the entrepreneurial process? A) Hiring employees, setting up a website, advertising, sales. B) Identifying opportunities, accessing resources, building the right team, assessing the fit between elements. C) Market research, product development, financial planning, management. D) Networking, attending events, social media marketing, customer service. Show Answer Correct Answer: B) Identifying opportunities, accessing resources, building the right team, assessing the fit between elements. 20. Patents can only be filed to get rights over an invention not discovery. A) True. B) False. C) All the above. D) None of the above. Show Answer Correct Answer: A) True. 21. Loans need a ..... % down payment A) 10. B) 20. C) 7. D) 5. Show Answer Correct Answer: A) 10. 22. In which step of the sales process would a customer decide to purchase a product? A) Closing. B) Approach. C) Presentation. D) Objection. Show Answer Correct Answer: A) Closing. 23. Why do people start small businesses? A) They have an original product or idea. B) They see a need and decide to fill it. C) They can't find a job so they create one. D) Any of these reasons and many more. Show Answer Correct Answer: D) Any of these reasons and many more. 24. Is Applying for licenses and permits unnecessary A) Yes. B) No. C) All the above. D) None of the above. Show Answer Correct Answer: B) No. 25. What advantage does having a curated selection in a small online store provide? A) It offers a unique and tailored offering to customers. B) It reduces the cost of goods sold. C) It allows for international shipping. D) It increases the number of employees. Show Answer Correct Answer: A) It offers a unique and tailored offering to customers. 26. A small business pays $ 500 per month for internet service. What type of expense is this? A) Variable expense. B) Capital expense. C) One-time expense. D) Fixed expense. Show Answer Correct Answer: D) Fixed expense. 27. What are the advantages and disadvantages of online marketing for a small business? A) Advantages:wider reach, cost-effectiveness, targeted advertising, measurable results. Disadvantages:increased competition, technical challenges, continuous updates and monitoring. B) Dependency on internet connectivity, limited offline presence. C) Potential for negative online reviews, damage to reputation. D) Limited customer interaction, lack of personal touch. Show Answer Correct Answer: A) Advantages:wider reach, cost-effectiveness, targeted advertising, measurable results. Disadvantages:increased competition, technical challenges, continuous updates and monitoring. 28. It is becoming more and more common to sell products and services A) Through storefronts. B) At markets. C) Through wholesaling. D) Online. Show Answer Correct Answer: D) Online. 29. What type of devices should have up-to-date antivirus software? A) Only desktop computers. B) Only tablets. C) All devices connecting to the network. D) Only gaming consoles. Show Answer Correct Answer: C) All devices connecting to the network. 30. Which tool is most useful in helping Customer Service support sales strategies? A) Customer Relationship Management (CRM). B) Contact list. C) Remote Desktop. D) Website. Show Answer Correct Answer: A) Customer Relationship Management (CRM). 31. How does the investment ceiling affect the growth of small businesses? A) The investment ceiling can hinder the growth of small businesses by restricting access to necessary capital. B) The investment ceiling provides small businesses with guaranteed funding. C) The investment ceiling encourages small businesses to innovate more. D) The investment ceiling has no impact on small businesses at all. Show Answer Correct Answer: A) The investment ceiling can hinder the growth of small businesses by restricting access to necessary capital. 32. Which of the following statements about new businesses is true? A) Most new businesses survive past their first year. B) Most new businesses do not survive past their first year. C) All the above. D) None of the above. Show Answer Correct Answer: B) Most new businesses do not survive past their first year. 33. The study of the characteristics of the human population or specific segments of the population is called demographics. A) False. B) True. C) All the above. D) None of the above. Show Answer Correct Answer: B) True. 34. Income from sales. A) Revenue. B) Profit. C) All the above. D) None of the above. Show Answer Correct Answer: A) Revenue. 35. Based on statistics from the U.S. Small Business Administration, small businesses comprise 49.9% of all businesses in the United States. A) True. B) False. C) All the above. D) None of the above. Show Answer Correct Answer: B) False. 36. What is the primary focus of human resource consulting? A) Marketing strategies. B) Employee engagement and retention. C) Financial management. D) Product development. Show Answer Correct Answer: B) Employee engagement and retention. 37. Which of the following is a key element of the Marketing Budget? A) Office supplies. B) Capital expenditure for marketing assets. C) Employee salaries. D) Operational costs. Show Answer Correct Answer: B) Capital expenditure for marketing assets. 38. Equipment, inventory or other goods that are pledged to the bank in the case the company can't make a loan payment. A) Collateral. B) Secured Loan. C) All the above. D) None of the above. Show Answer Correct Answer: A) Collateral. 39. How do small businesses adapt to changing market trends? A) By ignoring market trends and sticking to outdated practices. B) By only focusing on one product or service without considering diversification. C) By conducting market research, & staying updated on industry news,. D) By refusing to adapt and remaining rigid in their strategies. Show Answer Correct Answer: C) By conducting market research, & staying updated on industry news,. 40. Information Technology A) Enables information to be used to produce products. B) Work with hardware & software. C) Is used to produce services. D) All of the answers are correct. Show Answer Correct Answer: D) All of the answers are correct. 41. What is the most challenge faced by small businesses in the beginning? A) Hiring employees. B) Managing cash flow. C) Finding customers. D) None of the above. Show Answer Correct Answer: C) Finding customers. 42. A company that provides a good or service to another company. A) Supplier. B) Partnership. C) All the above. D) None of the above. Show Answer Correct Answer: A) Supplier. 43. Tangible products require warehousing (a place to store them) A) True. B) False. C) All the above. D) None of the above. Show Answer Correct Answer: A) True. 44. The chain of command in an organisation is A) The link that exists between different departments. B) The method of communication used in the organisation. C) The line of authority flowing down the organisation. D) None of the above. Show Answer Correct Answer: C) The line of authority flowing down the organisation. 45. In case of ..... investors are individuals with surplus cash who have keen interest to invest in upcoming startups A) Angel investment. B) Venture capital. C) Crowd funding. D) Bootstrapping. Show Answer Correct Answer: A) Angel investment. 46. Which of the following is a reason for starting a business to address social causes? A) Profit generation. B) Employment creation. C) Addressing social causes. D) None of the above. Show Answer Correct Answer: C) Addressing social causes. 47. What should you do before buying a franchise? A) Carefully investigate your options and read Disclosure Statements. B) Trust the franchisor's claims without any research. C) Rely solely on the Better Business Bureau's recommendation. D) Ignore the competition and expansion plans of the franchisor. Show Answer Correct Answer: A) Carefully investigate your options and read Disclosure Statements. 48. What is an important consideration for small business location A) Low-cost labor market. B) Accessibility to target customers. C) Availability of government subsidies. D) None of the above. Show Answer Correct Answer: B) Accessibility to target customers. 49. What is a unique selling proposition (USP)? A) A long-term plan for the development of a product. B) The lowest price in the market. C) A marketing strategy that involves selling in unique locations. D) A feature that makes a product or service different from others. Show Answer Correct Answer: D) A feature that makes a product or service different from others. 50. Which of the following is a characteristic of a franchise agreement? A) Buyers agree to sell products developed by the franchise owner. B) No need for initial investment. C) Buyers can sell any products they choose. D) No stipulations on franchise location. Show Answer Correct Answer: A) Buyers agree to sell products developed by the franchise owner. 51. Entrepreneurship involves identifying, evaluating, and exploiting opportunities by marshaling resources, managing risk, and creating value for stakeholders. A) Joseph Schumpeter. B) Peter Drucker. C) Howard Stevenson. D) William Bygrave & Andrew Zacharakis. Show Answer Correct Answer: C) Howard Stevenson. 52. Which of the following is a problem faced by small businesses? A) Managerial efficiency. B) High economies of scale. C) Easy access to finance. D) Lack of skilled labour. Show Answer Correct Answer: D) Lack of skilled labour. 53. Trade finance for exporters can be given through: A) Marriage Loan. B) Packing Credit. C) Home Loan. D) Personal Loan. Show Answer Correct Answer: B) Packing Credit. 54. The Timmons Model of Entrepreneurship Process considers opportunities, teams and resources as the three critical factors available to an entrepreneur. A) FALSE. B) TRUE. C) All the above. D) None of the above. Show Answer Correct Answer: B) TRUE. 55. One major disadvantage that a small firm may experience is A) Limited liability. B) No liability. C) Unlimited liability. D) None of the above. Show Answer Correct Answer: C) Unlimited liability. 56. Mrs. Lopez owns a local bakery that has served her town for 15 years. A) Entrepreneur. B) Manager. C) Small Business Owner. D) None of the above. Show Answer Correct Answer: C) Small Business Owner. 57. According to the segment, which of the following is NOT a question asked in the strategy and development process? A) Who will the business serve. B) What is the business's vision and mission. C) Where will we buy equipment. D) How is the brand going to be developed. Show Answer Correct Answer: C) Where will we buy equipment. 58. To show or explain in detail A) Tell. B) Find. C) Describe. D) Demonstrate. Show Answer Correct Answer: C) Describe. 59. What percentage of businesses survive 5 years? A) 50. B) 40. C) 60. D) 30. Show Answer Correct Answer: A) 50. 60. What does the disadvantage "Inability to Cope with Growth" imply for small-business owners? A) They are unable to expand their business when necessary. B) They have too much capital to manage effectively. C) They lack the necessary technology for business operations. D) They have a high success rate in the market. Show Answer Correct Answer: A) They are unable to expand their business when necessary. ← PreviousNext →Related QuizzesCommerce QuizzesClass 11 QuizzesClass 11 Business Studies Chapter 8 Small Business Quiz 1Class 11 Business Studies Chapter 8 Small Business Quiz 2Class 11 Business Studies Chapter 8 Small Business Quiz 3Class 11 Business Studies Chapter 8 Small Business Quiz 4Class 11 Business Studies Chapter 8 Small Business Quiz 5Class 11 Business Studies Chapter 8 Small Business Quiz 6Class 11 Business Studies Chapter 8 Small Business Quiz 7Class 11 Business Studies Chapter 8 Small Business Quiz 8 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books