Multiple Choice Quiz


1	What is meant by the term "evidence of market orientation and focus"? Does it mean
		A)	that the needs of the potential customer have been recognised
		B)	a clear idea of how and to whom the product is to be sold.


2	What is not one of the problems of the business plan? Is it that
		A)	the quality of the analysis is poor
		B)	weaknesses may not be considered fully
		C)	demand projections are over-estimated
		D)	it shows changing circumstances.


3	One bank uses the acronym "PARSER" when evaluating any business proposition. What does the P stand for? Is it
		A)	Person
		B)	Profitability


4	When formulating a mission statement for a business, there are 4 criteria that need to be taken into consideration. Which of the following is not one of them. Is it
		A)	Focused and capable of differentiating the business from its competitors
		B)	Targetted on its customers and clear about the level of service being offered
		C)	Sufficiently broad to allow the business to grow and realize its potential
		D)	Concise and capable of being memorised
		E)	Capable of explaining the business and its purpose


5	A business can take one of 4 legal forms, two of which are regarded as "formal" entities and two as "informal". Which are the formal entities? Are they
		A)	The sole trader and partnership
		B)	The limited liability company and partnership.


6	In the marketing plan, what is the purpose of the section dealing with the marketing strategy? Is it intended to:-
		A)	summarise the way the resources of the business will be used to take advantage of the market opportunities and meet the marketing objectives.
		B)	summarise the actions needed to put the strategy into effect.


7	Which is not one of the functions of the Human Resources Plan? Is it to determine
		A)	the number of staff needed
		B)	the type of staff needed
		C)	the nature of any union representation
		D)	when they will be recruited
		E)	how they will be managed and used
		F)	the costs involved in their employment


8	The projected profit and loss account shows the cash surplus or deficit each month and the effect on the cash balance or overdraft. Is this
		A)	True?
		B)	False?


9	Business Angels are companies seeking investment opportunities characterised by the potential for a fast, high rate of return. Is this:-
		A)	True?
		B)	False?

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