Question 1.
Starting a business
      A.  Is easy and will require little sacrifice
      B.  Demands hard work and passion
      C.  Doesn't take a lot of time
      D.  Means you will start making money right away

Question 2.
When you want to start a business, you should talk to your family about it
      A.  Before you start your business
      B.  Only after you have written a business plan
      C.  On the day of your grand opening
      D.  You shouldn't involve your family

Question 3.
You'll have all kind of ideas about how you want to run your new business. You should
      A.  Keep track of them in an electronic organizer or a journal
      B.  Assume you'll remember them all
      C.  Tell someone you trust
      D.  Write a blog about all your business ideas

Question 4.
Before you go into business, you should do research on the type of business you want to start by
      A.  Visiting businesses that could be potential competitors
      B.  Reading trade magazines
      C.  Doing research online
      D.  All of the above

Question 5.
You will need a business plan
      A.  So you are better prepared to open a business
      B.  So you can explain your business idea to lenders
      C.  To help you avoid costly mistakes
      D.  All of the above

Question 6.
If you decide you want to buy an existing business, you should
      A.  Be prepared to pay whatever the seller sets as the asking price
      B.  Research the business' financial records
      C.  Expect to make money right away after you take over as owner
      D.  Expect that all the business' current clients will do business with you

Question 7.
A budget is a tool you can use to determine how much money you can invest in your new business. The foundation of a budget is
      A.  Your income
      B.  Your debts
      C.  Your goals
      D.  Accurate numbers for your income and expenses

Question 8.
Having and maintaining personal good credit means
      A.  You make all your payments as agreed every month
      B.  When you need a business loan, lenders are more likely to consider you a good credit risk
      C.  You regularly check your credit report and make sure it is accurate
      D.  All of the above

Question 9.
On your budget form, savings belong
      A.  At the bottom, after all the bills are paid
      B.  After your housing expenses
      C.  At the top of your budget
      D.  Anywhere you can make it fit

Question 10.
A business budget is necessary
      A.  Before you start your business, because you need to estimate your expenses
      B.  After you have been in business for two or three years
      C.  Only when your business starts earning income
      D.  Only when you want to get a business loan

Question 11.
One of the best ways to finance your new business is to
      A.  Keep your full-time job
      B.  Pay for business expenses with your credit cards
      C.  Expect friends and family to lend you money
      D.  Take out a big loan to cover all your start-up costs

Question 12.
If you want to quit your full-time job to start your business and you plan to rely on your savings, you will need
      A.  12 to 18 months of savings to cover business and personal expenses
      B.  Six months of savings to cover personal expenses
      C.  Six months of savings to cover personal and business expenses
      D.  12 months of savings to cover business expenses

Question 13.
When you are ready to talk to a lender about getting a business loan, you should
      A.  Dress professionally and have your business plan and other documents the lender needs with you
      B.  Drop in to see the lender whenever it is convenient for you
      C.  Expect less paperwork than is required for other types of loans
      D.  Start first by visiting with a lender with whom you have never had an account before

Question 14.
As you start and run your business, you will need
      A.  A team of professional advisors, including an accountant and an attorney, to help you
      B.  To earn a business degree
      C.  Expensive office equipment and furniture
      D.  At least a year's worth of office supplies

Question 15.
When choosing professionals to advise you, you should
      A.  Hire the first attorney, accountant and insurance agent listed in the phone book
      B.  Work with them even if they can’t or won’t answer all your questions
      C.  Talk to several professionals and choose the people with whom you are comfortable and who are most helpful
      D.  Hire whomever is least expensive

Question 16.
Government offices you will need to contact when you are starting a business include
      A.  The Department of Revenue
      B.  Your state's Secretary of State
      C.  City and county agencies
      D.  All of the above

Question 17.
A good location for your business
      A.  Will be in a place that is easy for customers to find
      B.  Will fit into your budget
      C.  Can help you attract customers
      D.  All of the above

Question 18.
Combining business and personal finances
      A.  Is never appropriate and can result in tax penalties
      B.  Can be done sometimes for convenience
      C.  Is illegal
      D.  Is your accountant's responsibility

Question 19.
As a business owner, taking a bookkeeping and/or computer software class
      A.  Isn’t necessary if you hire a bookkeeper
      B.  Isn’t necessary if you hire accountant or CPA
      C.  Is essential because you will need to understand your business finances
      D.  Is only necessary after you have been in business for a few years

Question 20.
When you are a business owner, you should schedule time to review your business bills and inventory
      A.  When your bookkeeper is on vacation
      B.  Because you suspect someone is stealing supplies or inventory
      C.  When you are trying to collect unpaid bills
      D.  So you will always have up-to-date information about the status of your business

Question 21.
As a business owner, your bank statements
      A.  Should be given to your bookkeeper first to open and review
      B.  Should be opened and reviewed by you first
      C.  Should be sent directly to your accountant
      D.  Should be read and filed when you have time

Question 22.
When you are ready to set up your office, you will need
      A.  To invest a lot of money in furniture
      B.  Six months worth of office supplies
      C.  Multiple filing cabinets
      D.  Only the supplies you need right away and good-quality used furnishings

Question 23.
When you organize your business files,
      A.  You can combine them with your personal files
      B.  You should always keep them separate from your personal files
      C.  You will have to hire a professional organizer
      D.  You should purchase a sophisticated organizational system that will grow with your business

Question 24.
Managing your schedule is important
      A.  Only when you are working full-time and trying to start a business
      B.  Because you need to be home for dinner every night with your family
      C.  Because it is a discipline that can help you run your business more effectively
      D.  And you will need to buy a software program to help you

Question 25.
An organized business owner makes daily to-do lists and also keeps track of items that must be accomplished
      A.  Weekly
      B.  Monthly
      C.  Quarterly
      D.  All of the above

Question 26.
When you develop a business brand, you have
      A.  A rubber stamp you use on all your invoices
      B.  A consistent appearance, set of values and quality of service your customers can count on
      C.  A web site
      D.  A line of gourmet foods

Question 27.
An affordable way to market your new business can include
      A.  Telling friends, family and acquaintances about it
      B.  Using social media to promote your business
      C.  Joining the Chamber of Commerce
      D.  All of the above

Question 28.
Information you post online about yourself, your business and your customers
      A.  Can be shared easily and will exist online forever
      B.  Is gone as soon as you delete it
      C.  Will disappear when you change your web site
      D.  Will disappear when you close your e-mail account

Question 29.
You will need a web site for your business
      A.  When it has been open for a year
      B.  When your business has more than five employees
      C.  You should always have a web site for your business
      D.  Only if you plan to sell items online

Question 30.
When creating a business e-mail address
      A.  You can use your personal e-mail address
      B.  You should use an e-mail address that incorporates your business name
      C.  You don't need e-mail if you have a web site
      D.  You don't need e-mail if you have a Facebook account