Building Your Dream, A Canadian Guide to Starting Your Own Business,
10e Walter Good Wendy Mayhew (Test Bank All Chapters, 100% Original
Verified, A+ Grade) Answers At The End Of Each Chapter
Chapter 1
MULTIPLE CHOICE. Choose the one alternative that best completes the statement or answers the question.
1) The three types of reaction identified by Robinson et al. are: 1) _______
A) Empathy, Confusion, and Clarity B) Cognition, Intelligence, and Emotion
C) Passion, Avoidance, and Ignorance D) Cognition, Affect, and Behaviour
2) In a study of inductees into the Babson University Academy of Distinguished Entrepreneurs, the 2) _______
three attributes and behaviours cited as the principal reasons for entrepreneurial success are:
A) Positive attitude, social savvy, and intellectual intelligence.
B) Commitment, dedication, and perseverance.
C) Emotional intelligence, social intelligence, mathematical intelligence.
D) Openness to change, personal initiative, and perseverance.
3) You are able to acquire many of the skills needed prior to considering an entrepreneurial career 3) _______
through all of the following means, except:
A) Vacationing B) Job experience
C) Organizational (or club) activities D) Managing a home
4) Agencies such as Equifax Canada Inc. assemble information about how you pay your bills and 4) _______
then enter this information into your credit file. An individual who is always late in paying their
bills is given a rating of:
A) R4 B) R2 C) R3 D) R1
5) Social entrepreneurship seeks: 5) _______
A) Financial profit B) Welfare management
C) Social media business opportunities D) Social change
6) A code of ethics should be guided by all of the following areas of concern, except: 6) _______
A) Citizenship B) Integrity C) Responsibility D) Competition
7) Most entrepreneurs are found to be ________ listeners and ________ learners. 7) _______
A) Poor; quick B) Good; slow C) Poor; slow D) Good; quick
8) Entrepreneurs are driven by an immense desire to achieve the goals they initially set for 8) _______
themselves and then to aim for even more challenging standards. This makes them:
A) Success-oriented B) Profit-oriented
C) Challenge-oriented D) Goal-oriented
9) These entrepreneurs go on to build larger companies through hiring and delegation of authority. 9) _______
A) Pattern multipliers B) Deal-to-dealers
C) Independent innovators D) Team builders
10) Arranging financing, handling credit, and budgeting are all considered skills under which broad 10) ______
entrepreneurial skill set?
A) Managing capital B) Managing people
C) Managing money D) Managing inventory
11) You can usually identify ________ by the fact that their companies grow by more than 30 percent 11) ______
annually.
A) Empire Builders B) Freedom Fighters
C) Institutional Developers D) Venture Capitalists
,12) Well-known social entrepreneurs include all of the following, except: 12) ______
A) Shannon Tessier and Zack Patterson B) Jeff Skoll
C) Craig and Mark Kielburger D) Kenneth Lay
13) All of the following are subscales in Robinson's EAO Model, except: 13) ______
A) Desire for retribution B) Desire for personal control
C) Achievement in business D) Innovation in business
14) Purchasing supplies and raw materials, controlling inventory, and managing the physical 14) ______
facilities are skills which fall under which of the following broad entrepreneurial skill sets?
A) Managing people B) Directing sales and marketing
operations
C) Directing business operations D) Setting up a business
15) Which type of entrepreneur takes advantage of the fact that unit costs tend to shrink as volume 15) ______
expands?
A) Economy-of-scale exploiters B) Capital aggregators
C) Pattern multipliers D) Deal-to-dealers
16) The higher your number of most desirable responses on the Entrepreneurial Quiz is, then: 16) ______
A) The less likely you are to become a successful entrepreneur.
B) The more likely you are to abort your attempts at an entrepreneurial venture because of
anxiety.
C) The less your responses agree with those of successful entrepreneurs.
D) The more your responses agree with those of successful entrepreneurs.
17) Which of the following is not among the three questions to address when confronted with an 17) ______
ethical problem?
A) How will it make you feel about yourself?
B) What will others think?
C) Is it legal?
D) Is it balanced?
18) Your credit rating is based on: 18) ______
A) The value of your home equity.
B) Your overall debt load, compared to your ability to generate income.
C) Your prior history in borrowing and repaying money.
D) Your employment income only.
19) Which of the following did Robinson et al. define as the predisposition of the individual to 19) ______
respond in a generally favourable or unfavourable manner with respect to innovation?
A) Personality B) Empathy C) Attitude D) Character
20) The best entrepreneurs have a keen sense of their own strengths and weaknesses and of the 20) ______
competitive environment in which they operate. This makes them ________ -oriented.
A) Action B) Success C) Goal D) Reality
21) Successful entrepreneurs are ________ people; they want to start producing results immediately. 21) ______
A) Challenge-oriented B) Action-oriented
C) Success-oriented D) Goal-oriented
, 22) All of the following are included in the triple bottom line assessment, except: 22) ______
A) Global equality B) Social well-being
C) Financial performance D) Environmental impact
23) One of the common themes resulting from research into the common attributes shared by 23) ______
successful entrepreneurs is that:
A) Those attributes cannot be learned, an individual is either born with them or they are not.
B) Those attributes can be learned.
C) There are no "common" set of attributes - each entrepreneurial success story is unique.
D) Those attributes are always the same - confidence, determination, and perseverance are
always at the top of the list.
24) A ________ should be a formal statement of a business's values concerning ethics and social 24) ______
issues.
A) Mission statement B) Vision statement
C) Code of ethics D) Code of behaviour
25) Despite scoring high on the Entrepreneurial Quiz, your venture is unlikely to succeed if you fail to 25) ______
demonstrate:
A) Technical savvy
B) Financial independence
C) People prowess
D) Commitment, determination, and perseverance
26) The personal net worth required to start a business is generally thought to be in the range of: 26) ______
A) $20,000-$50,000
B) $5,000-$10,000
C) $100,000-$500,000
D) Every business opportunity has its own unique capital requirements.
27) Which of the following entrepreneurial types prefer to identify themselves by their craft first, 27) ______
and as business owners only as an afterthought?
A) Craftspeople B) Lifestyle Business
C) Empire Building D) Freedom Fighters
TRUE/FALSE. Write 'T' if the statement is true and 'F' if the statement is false.
28) Social entrepreneurship refers to the discovery, evaluation, and exploitation of opportunities for 28) ______
financial profit.
29) A socially responsible organization behaves in such a way as to achieve a high level of financial 29) ______
performance, coupled with obvious efforts to act as good citizens and give something back to the
societies in which they exist.
30) Craig and Mark Kielburger are well known for the role they played in the Ponzi scheme and 30) ______
eventual collapse of Enron.
31) The Managerial Sills Inventory questionnaire can be used to develop an inventory of your skills 31) ______
and capabilities in the areas of financial accounting, human resources, and ethics.
32) The "typical entrepreneur" is most closely associated with the Empire Builder type of 32) ______
entrepreneur.
, 33) Many small business owners experience an immediate increase in the level of personal income 33) ______
they can earn.
34) Your credit rating is based on your income earning potential in a five year period. 34) ______
35) According to Vesper’s typology, "Acquirers" are entrepreneurs that will often take over 35) ______
businesses that are in trouble and try to straighten them out or buy businesses that they can add
value to in some way, perhaps before selling them off again.
36) It is estimated that the principal reason for the failure of small firms is poor cash flow. 36) ______
37) Most entrepreneurs are self-confident, and with this confidence comes a strong ego. 37) ______
38) Equifax Canada Inc. is a venture capital firm headquartered in western Canada. 38) ______
39) Craftspeople are a type of entrepreneur that seek financial independence above anything else 39) ______
and the freedom to spend their time as they wish.
40) High energy, good health, and emotional stability are thought to be some of the "not so 40) ______
learnable" qualities of successful entrepreneurs.
41) Training employees, motivating people, and evaluating workers fall under the "directing 41) ______
business operations" skill set.
42) High intelligence and conceptual ability are two of the most "learnable" attributes of successful 42) ______
entrepreneurs.
43) Researchers are unable to identify a set of common attributes, attitudes, and experiences among 43) ______
entrepreneurs that appear to lead to success.
44) Your personal balance sheet includes a summary of all your assets–what you own that has some 44) ______
cash value–and your liabilities or debts.
45) There is considerable evidence which suggests that the "right stuff" needed to become a 45) ______
successful entrepreneur can be learned.
46) Deal-to-dealers are small business owners which have had more than one venture, often in quite 46) ______
different lines of business.
ESSAY. Write your answer in the space provided or on a separate sheet of paper.
47) Outline the three key questions in Blanchard and Peale’s Ethics Check to help you sort out dilemmas by
examining the situation at several different levels.
48) List and describe the "not-so-learnable" traits of an entrepreneur.
49) List the reasons why businesses should be concerned with being more socially responsible.
50) In addition to the proper background, attitude, and lifestyle, what else should be considered in assessing
your potential for becoming a successful entrepreneur?
51) Outline the five steps in preparing a personal balance sheet.
