Entrepreneurship Ch. 10-11 Exam

1. Management is the process of achieving _ by establishing operating procedures that make effective use of people and other resources. plans practices goals 2. Setting broad, long-range objectives to achieve long-range goals. strategic planning intermediate-range planning short-term planning 3. Preparing detailed plans and strategies for achieving goals within a one-year period. strategic planning intermediate planning short-term planning 4. As a business grows, grouping its employees into departments helps to be more efficient. True False 5. Because resources are _, there must be a plan for distributing and using them efficiently. unlimited limited infinite none of these 6. This type of management is where the manager is very controlling and has his hand on every aspect of the business. Democratic Mixed Authoritative Dictatorship 7. Participatory management is another name for what? democratic mixed authoritative persuasive 8. Mixed management tends to be unfavorable because it gives too much power to the employees and causes employees to become lazy and unproductive. true false 9. Why would a manager need to make necessary changes such as firing old employees new employees, upgrading tools increasing the budget in certain areas, etc.? the company is growing the company is struggling to meet standards the company's sales have become stagnant all of these 10. This contains all of the rules, policies and procedures that a business should follow to function effectively. employee handbook operations manual rules manual 11. Policies serve a guidelines for daily operations. true false stock turnover rate the rate at which inventory of a product is sold and replaced with new inventory net sales sales after returns subtracted gross sales sales before returns are subtracted perpetual inventory keeps track of inventory levels on a daily basis periodic inventory keeps track of inventory by getting a physical count at regular intervals such as weekly, monthly or annually cash budget shows the projections of your money coming in and out 18. This allows companies to see their sales as well as inventory in real-life. stock card perpetual inventory method periodic inventory method point-of-sale 19. What does ROE stand for? return on engineering rate of equity return on equity rate of excess 20. This is the indicator that we need to replenish our inventory. order point reorder point stock level purchase plan 21. Beginning inventory + Purchases - Sales = _ net sales stock levels gross sales ending inventory 22. Inventory takes up little space and business' should always keep large inventory amounts in their backrooms true false 23. Can items become obsolete (undesirable) while in your current store inventory? yes no 24. This financial statement reports revenues, expenses and net income or loss. income statement balance sheet cash flow statement cost of goods sold statement 25. The breakeven point is where inventory is at its optimal point for the business. true false 26. Headhunters are another name for what? classified advertisements employment agencies career boards 27. Temporary workers are sometimes called "_". temps temporaries tempo's none of these 28. You are allowed as a business owner to only interview protected classes (like race, gender, religion, etc). true false 29. Another name for the money a person receives for time worked is _. revenue profit wages assets 30. The Civil Rights Act became law in _. 1962 1963 1964 1965 31. The Age Discrimination in Employment Act of 1967 protected employment for persons over what age? 40 45 55 60 32. OSHA was created in what year? 1960 1970 1975 1980 33. FMLA allows families to have up to how many weeks of unpaid leave for personal serious health conditions. 8 10 12 14