GMETRIX Entrepreneurial Certification Exam Study Guide Rated A+

GMETRIX Entrepreneurial Certification Exam Study Guide Rated A+ What is entrepreneurship? Setting up a business with the aim to make a profit. You need to create a legal structure for your small business. You would like some of the benefits enjoyed by large corporations, but do not want to be taxed twice. You have four partners who will be shareholders. None of you plan to sell your ownership shares to the public, but do not want to be protected from business liabilities. Which legal structure should you set up for your business? S- Corporation Place the stages of the business life cycle in the correct order. 1. Existence 2. Survival of the Fittest 3. Success 4. Take-Off 5. Maturity Match each Element of the Design Thinking Process to its corresponding description. Research your users' needs: Empathize State your users' needs and problems: Define Challenge assumptions and create ideas: Ideate Create Solutions: Prototype Try your solutions: Test In general, which TWO characteristics define a "small" business? Less than $35.5 million revenue Fewer than 1,500 employees You need to create a legal structure for your small business. You have plans for it to grow and hope in the future to sell shares to the public. Your startup partners are citizens of Mexico and Japan. You do not want to be personally responsible for business liabilities. Which legal structure should you set up for your business? C-Corporation Match each business management role to its corresponding description. CEO: The highest- ranking employee in the company; reports to the board of directors. CFO: Creates budgets, analyzes financial data, and forecasts company profits. CIO: Develops policies and structures to protect company data. COO: Oversees the day-to-day administrative functions of a business; second in command. You own a lawn care business. You have employees who work long hours laboring in good weather, often exceeding 40 hours per week. They also work short hours when the weather is bad, sometimes they can't work at all. You do all of the sales for your business. Which TWO types of compensation would be appropriate for these landscape employees? Hourly Salary Match each Stage of the Business Life Cycle to its corresponding description. Maturity: The business is separate from the owner with responsibilities delegated to staff. A business in this stage usually commands a considerable share of the market and may even be a household name. Success: Company is stable and profitable.