| A | B |
|---|
| You can find opportunity in an industry by looking at trends and patterns of change. | True |
| Loyalty to a business is termed “goodwill.” | True |
| The greatest disadvantage of a family enterprise is that its owners can never get away from the business. | True |
| When you use your own name for the business, you need a DBA. | False |
| One of the advantages of a sole proprietorship is that the business pays no income tax. | True |
| A non-profit company can make a profit. | True |
| Family businesses are often called “mom and pop” businesses. | True |
| When you want to study the current status of something, you do historical research. | False |
| Industrial markets have customers who buy for business use. | True |
| A market is a group of people or companies who demand a particular product or service. | True |
| Psychographics include gender, personality, and age. | False |
| The easiest and most popular form of business is the sole proprietorship. | True |
| A limited partner has no say over the management of the business. | True |
| Burger King, Kentucky Fried Chicken, and McDonald’s are examples of franchises. | True |
| You can own a business by buying a business or starting a business from scratch. | True |
| Starting a business is much easier and less time consuming than buying one. | False |
| Geographics include region, state, and country. | True |
| One of the questions you should ask when buying a business is, “Why is the owner selling?” | True |
| As businesses grow, the cost of producing products increases. | False |
| In exploratory research, you consult a variety of sources together information. | True |
| The best way to find a business to buy is through the newspaper. | False |
| Barriers to entry are things that keep new businesses from entering an industry. | True |
| Primary data is the most important, because it’s current. | True |
| A new business patterned on an existing model is called a lifestyle business. | False |
| Every partnership must have at least one limited partner. | False |
| A sole proprietorship with more than one owner is termed a partnership. | True |
| A corporation can live beyond the life of its founders. | True |
| Common stock does not have voting rights. | False |
| The sole proprietorship offers the owner protections from liability. | False |
| Trade credit is credit from customers. | False |
