ENTREPRENEURSHIP

1. Which of the following personal competencies of an entrepreneur best describe here?

“Tony invests a big amount of money in prawn in spite of recession and high dollar
exchange”.
a. Goal seeker c. Risk taker
b. Opportunity seeker d. Committed person

2. Mr. Santos has the ability to think new ideas and new ways of doing things.
a. Innovative c. Positive thinker
b. Hardworking d. Decision-maker

3. At this stage of product life cycle cash flow is starting to pick up and sales revenue is at
its peak.
a. Introductory phase c. Maturity phase
b. Growth phase d. Decline phase

4. Cost of production represents the payment for the factors of production. Which of the
following concepts is least considered?
a. Producers must choose productive resources which are abundant in supply.
b. It is better to produce the components than to buy.
c. It is always advisable to get back up supplies even if the current supplies are
sufficient.
d. When total revenue is greater than total cost produce more.

5. Technical feasibility is essential due to the following ECXEPT.

a. It indicates the manufacturing process, product design and drawings.
b. The details of machinery required and equipment raw materials and man power
required.
c. It provides the flow chart of manufacturing process.
d. It includes deciding which legal form of organization is appropriate for your
business.

6. The primary purpose of the business plan is to?

a. Attract lenders and investors.
b. Enable an entrepreneur to take his or her company in public.
c. Guide a company by plotting strategy for its success.
d. Meet SEC and other legal requirements designed to product to protect lenders and
investors.

7. The majority of the customer which is patronizing a particular store do so because?

a. Its price are too high
b. Its quality is too low
c. An different employee treated them poorly
d. I failed to advertise enough

8. All of the following are the things a company should do to achieve stellar customer
service and satisfaction EXCEPT?
a. Listen to customers with the help of suggestion boxes, focus, groups, surveys, and
other foods.
b. Define what “superior service” means so that customers and employees know exactly
what to expect and what to provide.
c. Hire friendly, courteous sales and representatives.
d. Use state to the art of technology to provide better customer service.
9. Which of the following is not an element of the marketing mix?
a. Price c. Place
b. Profit d. People
10. When an entrepreneur introduces to achieve his goal and meticulously assesses how
today activities contribute to the accomplishment of that goal, it shows the entrepreneur
can:
a. Plan systematically c. Set high standard of quality and efficiency
b. Set clear and realistic goal d. Persistent initiator

11. To be successful, a business must?

a. Produce goods instead of services.
b. Produce goods or services with a high price.
c. Produce goods or services that consumers wants.
d. Produce goods or services using mostly capital resources.

12. If the supply of the rice increases a lot and nothing else changes, we can expect the price
of rice to?
a. Fall c. Rise, then fall
b. Rise d. Stay the same

13. Carla and Marina pass out flyers to advertise their baked goods business. By advertising,
they are hoping to increase the ________ for their baked goods.
a. Supply c. Capital goods
b. Demand d. Opportunity costs
14. What tells us how scare good or service is compared to other goods and services?
a. Price c. Supply
b. profit d. Opportunity cost

15. Most important factor in forming a new business aside from the capital is?
a. Finance c. Government support
b. Marketing d. Family support

16. Which of the following is the first step in the entrepreneurial process?
a. Developing successful business ideas
b. Deciding to become an entrepreneur
c. Growing the entrepreneurial firm
d. Moving from an idea to an entrepreneur venture

17. What occurs when demand exceeds supply?

a. Production c. Want
b. Scarcity d. Need

18. The first step in identifying market is to analyze data in the following areas EXCEPT?
a. Legal environment c. Religious environment
b. Political environment d. Industry environment

19. The following are advantages of inventory control EXCEPT?

a. To know whether materials are readily available for production/use.
b. To ensure product delivery of materials to customers.
c. To examine quantity discount for large order.
d. To ensure quality of output.

20. The business plan covers all aspects of management EXCEPT?

a. Economic aspect c. Organizational aspect
b. Marketing aspect d. Technical aspect
21. Successful marketing strategy requires a business owner to do the following EXCEPT?
a. Understand what her target customers’ needs, demands, and wants before her
competitor can.
b. Offer customer products and services that will satisfy their need and wants.
c. Provide customers with service, convenience and values so that they will keep
coming back.
d. Provides the resources needed to run a business.

22. An entrepreneur best insurance against launching a business destined to fail or

mismanaging a potentially successful company.
a. Bankrolling the business with plenty of start-up capital.
b. Creating a solid business plan.
c. Spending lots of money on marketing and advertising.
d. Hiring team of accountants and attorneys as advisors.

23. Advertising is one of widely used promotion. Which is not a form of advertising?
a. Billboard c. Newspaper clippings
b. Door to door selling d. Articles in magazine

24. What is used to monitor and control means that small business must?
a. Break-even analysis c. PERT
b. Inventory d. SWOT analysis

25. A product life cycle concept means that small business must?
a. Constantly involve in product motivation.
b. Trace demographic and psychographic trends carefully.
c. Create both place and time utility if they are to survive.
d. Use a market place and time utility strategy if they are to be successful.

26. Which of these statements is true?

a. Lower cost of product, lower profit.
b. When production cost is high, prices of commodities goes down.
c. When cost production gets high, purchasing powers of consumer goes high.
d. Cheaper inputs means lower cost of production.

27. Productivity is the effective creation of goods and services. Which of the following does
not encourage productivity?
a. More products are produced c. Good lightning, ventilation
b. Overtime pay d. Pressures from employer

28. Using the SWOT analysis, which does not belong to the group?
a. Availability of technology c. High price
b. Good quality service d. Insufficient fund

29. Which of the following rules of production that when it happens will stop the production?
a. TR is less than TC c. TC is equal to TR
b. TR is greater than TC d. TC is lesser than TR

30. Which of the following is an internal source of capital?

a. Bond c. Mortgage
b. Loan d. Owner’s equity

31. A factor considered in setting the price that is characterized by the difference between the
cost price and the selling price of the goods.
a. Cost-oriented pricing c. Demand-oriented pricing
b. Competition based pricing d. Psychological pricing
32. Considered as the most important resource in the business?
a. Financial resource c. Human resource
b. Informational resource d. Material resource

33. Success begets success is a belief of entrepreneur who are _______?

a. Innovative c. Decision maker
b. Positive thinker d. Risk taker

34. Which of the following entrepreneurial problems pertains to problem of power supply
transportation and communication which can slow down the production and sales?
a. Marketing problem c. Managerial problem
b. Financial problem d. Problem relating to facilities

35. This aspect of feasibility looks into the various factors that can affect customer
satisfaction in terms of quality and quantity of the products.
a. Financial aspect c. Organizational aspect
b. Marketing aspect d. Technical aspect

36. “Kung walang tyaga, walang nilaga” is a popular Filipino saying extolling the virtue of?
a. Creativity c. Committed worker
b. Take calculated risk d. Persistence

37. The entrepreneur is the driving force of the ______ process.

a. start-up c. Manufacturing
b. Venture d. Production
38. What is considered as the central point of the business?
a. Inventory c. Promotion
b. Quality control d. Productivity

39. Which of the following is not a characteristic of the typical entrepreneur?

a. Confidence, in their ability to succeed
b. Value of money over achievement
c. Desire for immediate feedback
d. Future orientation

40. Break-even is the level of sales volume where the sales receipts are equal to?
a. Total sales c. Total cost
b. Total profit d. Total capital

41. An entrepreneur uses different strategies and methods to check whether the activities are
being done on schedule, what management functions is this?
a. Directing c. Organizing
b. Planning d. Controlling

42. The following are the main source of sound idea for a new product EXCEPT?
a. Consumer c. Costumer
b. Former employees d. Government

43. It is a value placed on goods and services offered to the market.

a. Price c. Cost of products
b. Money d. Cost of service

44. This refers to any paid form of presentation and promotion of ideas, goods or services by
an identified sponsor.
a. Promotion c. Product display
b. Advertisement d. Product sel
45. It is the largest international organization whose sole responsibility is to develop
standards in the work place.
a. HACCP c. Halal
b. ISO d. TQM

46. Products refer to what the company sells. It must be tangible products or intangible, the
following are example of intangible EXCEPT?
a. Hospital care c. Auto repair service
b. Insurance d. Computer set

47. What is referred to as an aspect of management characterized by the men and women
employed that has to be kept productive and happy?
a. Finance c. Personnel
b. Marketing d. Production

48. The consumer is the individual who uses the product. The costumer on the other hand is
the person who?
a. Likes the product c. Gets the product
b. Patronize the product d. Buys the product

49. A/An ______ is an individual who undertakes the creation, organization, and ownership
of a business.
a. Consumer c. Entrepreneur
b. Entrepreneur d. Business owner

50. A characteristic of an entrepreneur who personally look for important data on clients and
supplies as well as competitors.
a. Goal setter c. Risk taker
b. Information seeker d. Persistent initiator