ESB V2 Certification Exam (100% Correct) Questions With Verified Answers, Exams of Entrepreneurship

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ESB V2 Certification Exam (100% Correct)

Questions With Verified Answers

Quality - _______ is measured by how well the product or service successfully serves its users' purpose. E-commerce sales and door-to-door sales - What are two examples of direct distribution channels? Middlemen - Indirect distribution channels use _______ to sell their products to the end customers. Idea - The first stage of the product/market fit is the ________ stage. prototype - The second stage of the product/market fit is the ________ stage. launch - The third stage of the product/market fit is the ________ stage. traction - The fourth stage of the product/market fit is the ________ stage. monetization - The fifth stage of the product/market fit is the ________ stage. growth - The sixth and final stage of the product/market fit is the ________ stage. Set quality standards - The first step of creating a quality control process is to _____________. Establish the method of testing product quality - The second step of creating a quality control process is to _____________. Review the internal quality testing results - The third step of creating a quality control process is to _____________. Refine and improve quality methods and measures as needed. - The fourth step of creating a quality control process is to _____________. Employee - Sarah is a(n) ________ because she performs tasks while abiding by company policies and receives a wage for her work. Success - Sharon is in the ________ stage because she is earning more money, and the company's finances are doing well. Because she is not yet preparing to finance future growth, she is not yet in the take-off stage.

Trade secret - Knowing a process has been tested and works well is valuable to companies as they can assume it would work just as successfully for their company. As a result, companies may want to use __________ materials. Business plan - A written document that details how a business will be structured, managed, run, and grown. Pitch deck - A brief overview of a business plan, the products and services that will be provided, the funding needed, and financial projections. Lean canvas - Covers problems and solutions, value propositions, marketing channels, key metrics, costs, and revenue without all of the business plan details. Critical thinking - ___________ involves solving problems in the best way by considering various potential solutions to the problem. Creativity and innovation - _________________ bring new and unconventional ideas to the table and finding creative and new solutions to the way things are done. Collaboration - ______________ is working with others toward a common goal. Problem solving - ______________ is coming up with solutions to solve a problem. Personal agency - _____________ is working towards achieving a goal without someone directing and ensuring it is being done. Ethical practices - ______________ involve decision-making based on morals and doing the right thing. Social responsibilities - _____________ involve preventing and removing any corruption and unethical behavior that could harm a business, the community, or the environment. They must obtain ownership of the patent - What must happen before one can use someone else's patent? Newspaper marketing - With ________, it is easy to target a specific geographic location. (cost * desired profit margin) + cost - What is the formula for selling price? (Marketing expenses + Sales expenses)/ number of new customers in the period - What is the formula for calculating Customer Acquisition Cost (CAC)? [(Ending number of customers in a period - new customers gained in a period)/Starting number of customers in a period] * 100 - What is the formula for calculating Customer Retention Rate (CRR)?

Equity - ___________ is the owner's remaining value after all liabilities have been deducted. Assets - Liabilities - What is the formula for calculating equity? Liabilities + Equity - What is the formula for calculating assets? Balance Sheet - A(n) _____________ shows what a company owns (both assets and liabilities.) Income Statement - A(n) _____________ shows the total revenues and expenses for a specific period of time. total income - COGS - expenses - What is the formula for calculating net income? income - COGS - What is the formula for calculating gross profit? gross profit * tax rate - What is the formula for calculating income tax expense? Total monthly cost/selling price - What is the formula for calculating the break-even point? Total cash - total costs - What is the formula for calculating ending cash balance? burn rate - A ________ is used to identify the amount of cash a company is spending each month. Month starting balance - month ending balance - What is the formula for calculating the burn rate for a company? Run rate - A __________ is used to make projections about a company's future performance. It usually uses a specific period (usually a month). Current revenue * 12 - What is the formula used to calculate the run rate for a company? Return on Investment (ROI) - ___________ is used by businesses to show how much their investment is earning. (value of investment - cost of investment/cost of investment) * 100 - What is the formula used to calculate ROI? (hint: the first part is used to calculate net profit) Bootstrapping - __________ is where an owner uses their own savings to fund a business.

Small Business Administration (SBA) - The ____________ makes it easier for small businesses to get loans. It reduces the risk for lenders, etc. real estate - _____________ loans must be paid back within 25 years. equipment and inventory - ____________ loans must be paid back within 10 years. grants - __________ do not have to be paid back. They commonly come with restrictions/guidelines on how the money can be spent. Angel investors - ___________ are wealthy individuals willing to finance a business for an equity stake in the business in return. Crowdfunding - ___________is done by sharing your startup business on an online platform where you can pre-sell your products. The $ from the pre-sell orders can be used as capital for your business. (some websites require a processing fee and/or you meet your full financial goal to access the $ you raise) CC - Identifies it as a Creative Commons license. BY - Credit must be given to the creator. SA - Adaptations must be shared under the same terms. NC - Only noncommercial uses of the work are permitted. ND - No derivatives or adaptations of the work are permitted. Creative Commons - _________ licenses use abbreviations in their names to describe what is and isn't permitted. Prospecting - __________ is usually the first step in the Sales Process. It involves finding potential customers, determining if they have a need for your product, and whether they can afford it. Handling Objections - ___________ involves listening to the potential customers' concerns and addressing them. Closing - _________ is getting the decision from the customer to move forward. Presentation - __________ is demonstrating how your product meets the needs of the potential customer. Preparation - __________ is researching the market and tailoring your sales promotion to the customer.

Approach - ___________ is making first contact with the customer. Follow-up - ______________ involves keeping in contact with the customer for retention, repeat business, and referrals. Direct-to-consumer - Which sales channel has been opened to manufacturers because of digital tools. existence - In the business life cycle, _________ is when the business introduces itself to the market and attempts to catch the attention of potential customers. survival of the fittest - In the business life cycle, _________ focuses shifts to revenue, expenses, and growth. Cashflow is a major issue. success - In the business life cycle, _________ is when the company is stable and profitable. takeoff - In the business life cycle, _________ is when expansion strategies are implemented, and investment is balanced with potential. maturity - In the business life cycle, _________ is when 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. Television Advertising - Which form of advertising is the most dominant medium?