A Salon Business Quiz Part- II

1. The stylist's name, scheduled service, client's name, date and client's phone number should all be included in the:

I-9 form

Appointment book

State income tax form

Federal income tax form

The stylist's name, scheduled service, client's name, date and client's phone number should all be included in the appointment book.

Explanation

The stylist's name, scheduled service, client's name, date and client's phone number should all be included in the appointment book.

2. An important aspect to remember when managing money is to:

Create a budget

Ignore economic conditions

Complete a performance review

Buy equipment by getting loans

An important aspect to remember when managing money is to create a budget

Explanation

An important aspect to remember when managing money is to create a budget

3. One of the most effective techniques in building a clientele is to:

Run behind to show the salon is busy

Give out business cards to potential clients

Point out weaknesses of other stylists to clients

Promote services that aren't available in the salon

One of the most effective techniques in building a clientele is to give out business cards to potential clients.

Explanation

One of the most effective techniques in building a clientele is to give out business cards to potential clients.

4. In many cases, the first person to greet a client is the:

Stylist

Owner

Manager

Receptionist

The receptionist is usually the first person to greet the client.

Explanation

The receptionist is usually the first person to greet the client.

5. The term given for selling products for client home care is:

Retailing

Networking

Scheduling

Warehousing

The term given for selling products for client home care is retailing.

Explanation

The term given for selling products for client home care is retailing.

6. Making a future appointment with a client while they are still in the salon is an effective tool for building a clientele and is referred to as:

Rebooking the client

Pressuring the client

Retailing to the client

Networking with the client

Rebooking a client while they are still in the salon is an effective tool for building success by retaining a client base.

Explanation

Rebooking a client while they are still in the salon is an effective tool for building success by retaining a client base.

7. All of the following items should be important requirements in the process of salon planning EXCEPT:

Location

Market need

Cost of necessary improvements

The distance from the Social Security office

The location, market need, and cost of necessary improvements are important factors in the process of salon planning.

Explanation

The location, market need, and cost of necessary improvements are important factors in the process of salon planning.

8. Which of these descriptions is NOT a guideline to be used when creating a resume?

List awards and special recognition

Show prior employment information

Provide at least eight pages of information

Write the resume in a brief and concise manner

A resume should describe prior employment, special awards, and be written in a short and concise manner.

Explanation

A resume should describe prior employment, special awards, and be written in a short and concise manner.

9. Which of the following interview questions is illegal for an employer to ask for the purpose of discrimination?

When were you born?

What is your strongest technical area?

How would you describe your people skills?

How would someone describe your personal characteristics?

The interview question "When were you born?" is not legal for the purpose of discrimination.

Explanation

The interview question "When were you born?" is not legal for the purpose of discrimination.

10. To become a valuable asset to any salon staff the stylist should do all of the following EXCEPT:

Listen to clients

Offer sound advice

Make negative comments

Communicate professionally

To become a valuable asset to any salon staff the stylist should listen to clients, offer sound advice and communicate professionally.

Explanation

To become a valuable asset to any salon staff the stylist should listen to clients, offer sound advice and communicate professionally.

11. The type of business ownership in which two or more persons share all costs of opening, operating, and maintaining the business is a:

Franchise

Partnership

Corporation

Sole proprietorship

A partnership is a business in which 2 or more persons share all costs of opening, operating, and maintaining the business.

Explanation

A partnership is a business in which 2 or more persons share all costs of opening, operating, and maintaining the business.

12. What is generally considered the best form of advertising?

Television

Billboards

Pamphlets

Word of mouth

Generally the best form of advertising is word of mouth.

Explanation

Generally the best form of advertising is word of mouth.

13. Compliance with all local, state/province and federal rules, regulations, and laws is the responsibility of:

Stylists

Salon owner

Local authorities

Former building owner

Compliance with all local, state/province and federal rules, regulations and laws is the responsibility of the salon owner.

Explanation

Compliance with all local, state/province and federal rules, regulations and laws is the responsibility of the salon owner.

14. Which form of advertising involves sending postcards or flyers to potential customers?

Direct mail advertising

TV and radio advertising

Word of mouth advertising

Involvement in community affairs

Direct mail advertising involves sending postcards or flyers to potential customers.

Explanation

Direct mail advertising involves sending postcards or flyers to potential customers.

15. Net worth is calculated by subtracting liabilities from which of the following:

Assets

Student loans

Loan balances

Charge accounts

Net worth is calculated by subtracting liabilities from assets.

Explanation

Net worth is calculated by subtracting liabilities from assets.

16. Keep all records of daily sales and services for:

2 to 4 years

5 to 7 years

10 to 12 years

14 to 16 years

Keep all records of daily sales and services for 5 to 7 years.

Explanation

Keep all records of daily sales and services for 5 to 7 years.

17. To be granted future loans it is important to pay loans on time and avoid:

Taxes

Default

Insurance

Compensation

To be granted future loans it is important to pay loans on time and avoid default.

Explanation

To be granted future loans it is important to pay loans on time and avoid default.

18. Which of the following items must be reported to the IRS as employee income?

Tips received by an employee

Money paid to vendor's for products

Operating expenses paid by the salon

Change given to a client following payment

Tips received by an employee must be reported to the IRS as employee income.

Explanation

Tips received by an employee must be reported to the IRS as employee income.

19. The tax based on the profits (earnings) of a business is known as:

Sales tax

Payroll tax

Income tax

Operating tax

The tax based on the profits (earnings) of a business is known as income tax.

Explanation

The tax based on the profits (earnings) of a business is known as income tax.

20. Which type of insurance protects the salon owner from financial loss due to an employee's negligence?

Premise

Malpractice

Social Security

Product liability

Malpractice insurance the salon owner from financial loss due to an employee's negligence.

Explanation

Malpractice insurance the salon owner from financial loss due to an employee's negligence.

21. U.S. Social Security and Canadian Pension taxes are planned savings/retirement funds and the money is collected by the:

City council

State government

County government

U.S. and Canadian governments

U.S. Social Security and Canadian Pension taxes are planned savings/retirement funds and the money is collected by the U.S. and Canadian governments.

Explanation

U.S. Social Security and Canadian Pension taxes are planned savings/retirement funds and the money is collected by the U.S. and Canadian governments.

22. Which of the following business types is owned by the shareholders and is formed under legal guidelines?

Franchise

Partnership

Corporation

Proprietorship

A corporation is owned by the shareholders and is formed under legal guidelines.

Explanation

A corporation is owned by the shareholders and is formed under legal guidelines.

23. A stylish earning additional payment over and above the normal paycheck would be receiving what type of compensation?

Salary

Pension

Commission

Salary plus commission

Receiving a steady paycheck and additional payment for additional clientele is referred to as salary plus commission.

Explanation

Receiving a steady paycheck and additional payment for additional clientele is referred to as salary plus commission.

24. Which of the following is vital in order to allow close management of products purchased for retailing in the salon?

Receptionist

Appointment book

Inventory control system

Employee compensation

An inventory control system is vital in order to allow close management of products purchased for retailing in the salon.

Explanation

An inventory control system is vital in order to allow close management of products purchased for retailing in the salon.

25. The least important factor in deciding whether to accept a position is:

The location

The size of the salon

The salary and benefits

The success of the salon

The least important factor in deciding whether to accept a position is the size of the salon.

Explanation

The least important factor in deciding whether to accept a position is the size of the salon.

26. Renting or leasing a styling station from a building owner would represent which of the following situations:

Partnership

Corporation

Sole proprietorship

Independent contractor

A stylish renting or leasing a styling station from a building owner is referred to as an independent contractor.

Explanation

A stylish renting or leasing a styling station from a building owner is referred to as an independent contractor.

27. All payments received from clients for services performed and home care products purchased is known as:

Taxes

Income

Expenses

Compensation

All payments received from clients for services performed and home care products purchased is known as income.

Explanation

All payments received from clients for services performed and home care products purchased is known as income.

28. What percentage of the total salon expenses generally represents compensation for the salon owner and employees?

10%

25%

50%

75%

50%

Explanation

50%

29. The ideal salon has an efficient traffic pattern providing:

80 sq. feet per stylist

A remote reception area

The most steps for the client and stylist to travel

The least steps for the client and stylist to travel

The ideal salon has an efficient traffic pattern providing the least steps for the client and stylist to travel.

Explanation

The ideal salon has an efficient traffic pattern providing the least steps for the client and stylist to travel.

30. Which of the following terms refers to all money owed?

Assets

Liabilities

Net worth

Financial status

All money owed is referred to as liabilities

Explanation

All money owed is referred to as liabilities