Breakthrough Intl Bible University - Christian Entrepreneurship Exam

An employee is someone who works for someone else, typically in exchange for wages or salary. They are not the owner or manager of the business, but rather they perform tasks and duties assigned to them by their employer. This term is often used to distinguish individuals who work for a company or organization from entrepreneurs, who are individuals who start and run their own businesses.

Self assessment is the correct answer because it refers to the process of evaluating one's own strengths and weaknesses. It is a valuable tool for individuals to gain self-awareness and identify areas for personal and professional development. This process is commonly used in various contexts such as employee evaluations, entrepreneurship, and personal growth. By conducting a self assessment, individuals can reflect on their skills, abilities, and areas of improvement, which can ultimately help them set goals and make informed decisions about their career or business ventures.

The correct answer is "Service" because a business that sells services focuses on providing intangible offerings such as consulting, repairs, or professional expertise, rather than physical products. This type of entrepreneurial business relies on delivering specialized skills or knowledge to meet the needs of customers. Unlike manufacturing, wholesaling, or retailing, which involve the production or distribution of tangible goods, a service-based business primarily offers solutions, assistance, or advice to clients.

The given correct answer is "Ignore the problem." This is because in the problem-solving method, the first step is to define the problem, followed by gathering information about it, and then identifying possible solutions. Ignoring the problem is not a step in the problem-solving process as it does not address or attempt to resolve the issue at hand.

A fixed cost is a cost that remains the same regardless of the level of production or sales. It does not fluctuate with changes in output or sales volume. This means that even if there is an increase or decrease in production, the fixed cost remains constant. Examples of fixed costs include rent, insurance premiums, salaries, and lease payments. These costs are incurred regardless of the level of activity in a business and are essential for its operations.

Manufacturing businesses are the type of entrepreneurial businesses that actually produce the products they sell. These businesses are involved in the process of transforming raw materials into finished goods through various production methods. They typically have facilities, equipment, and a workforce dedicated to the production process. Unlike wholesaling, retailing, or service businesses, manufacturing businesses are directly responsible for creating and assembling the products they sell to customers.

Entrepreneurs are individuals who own, operate, and take risks in a business venture. They are innovative and willing to take on the financial risk in order to create and develop a new business or idea. Unlike employees, entrepreneurs are not working for someone else but rather are the ones who establish and manage their own businesses. Entrepreneurship refers to the process of starting and running a business venture.

Retailing is the correct answer because it refers to the type of entrepreneurial business that sells products directly to the people who use or consume them. Retailers typically operate physical stores or online platforms where they sell products directly to consumers, bypassing any intermediaries. They purchase goods from wholesalers or manufacturers and then sell them to the end-users, making a profit by charging a higher price than the cost they paid for the products.

In a market economy, individuals have the freedom to make their own choices regarding what goods and services to produce, how to produce them, and for whom to produce them. This means that consumers can decide what they want to buy, producers can decide what to produce based on consumer demand, and businesses can compete with each other to attract customers. The market forces of supply and demand play a crucial role in determining prices and allocating resources. Overall, the market economy is characterized by individual freedom and decentralized decision-making.

A variable cost is a cost that fluctuates and changes in direct proportion to the level of production or sales. This means that as production or sales increase, the variable cost will also increase, and vice versa. Variable costs are typically associated with the cost of raw materials, labor, and other inputs that are directly tied to the production process. Unlike fixed costs, which remain the same regardless of production levels, variable costs are flexible and can be adjusted based on the needs of the business.

An office memorandum is a short written form of business communication that is used to convey important information within an organization. It is typically used to communicate policies, procedures, announcements, or other relevant information to employees or colleagues. Unlike a letter or a message from one person to another, an office memorandum is specifically designed for internal communication within a business setting. It is concise and to the point, providing the necessary details without unnecessary elaboration.

Opportunity cost refers to the value of the next best alternative that is forgone when making a decision. It involves evaluating the potential benefits of choosing one option over another. By choosing the best alternative, one is considering the potential gains or benefits that can be obtained from that choice compared to the other options. This implies that the chosen alternative is expected to provide the highest value or benefit, making it the most favorable option among the available choices.

The calculation of profit is determined by subtracting the total expenses from the total sales. This calculation gives the net income or profit earned by the business after deducting all the expenses incurred in generating those sales.

Being the boss is not a disadvantage of entrepreneurship because it allows individuals to have full control and make decisions according to their own vision and values. While entrepreneurship may involve risks, uncertain income, and long working hours, being the boss provides the freedom to shape and lead the business in a way that aligns with personal goals and aspirations.

Entrepreneurship offers numerous advantages such as the ability to choose a business of interest, being creative, and potentially making a lot of money. However, one disadvantage is that entrepreneurs often have to make decisions alone. This means that they bear the sole responsibility for important choices, which can be stressful and overwhelming. Collaborative decision-making can bring diverse perspectives and ideas, leading to better outcomes. Therefore, the statement "You will make decisions alone" is not an advantage of entrepreneurship.

Wholesaling is the correct answer because it refers to the type of entrepreneurial business that sells products to other businesses or retailers, rather than selling directly to the final consumer. Wholesalers typically purchase goods in bulk from manufacturers and then distribute them to retailers or other businesses at a slightly higher price. This allows retailers to buy products in smaller quantities and at a lower cost, while wholesalers benefit from the volume of sales.

Aptitude refers to the natural ability or talent that an individual possesses to learn and excel in a specific kind of job or task. It is the potential to develop the necessary skills and knowledge required for a particular occupation. Aptitude is essential for individuals to perform well in their chosen profession and to adapt to new challenges and opportunities. It is different from skills or knowledge as it represents an inherent capacity or inclination towards a specific field or job.

A command economy is a type of economic system where the government has complete control over the allocation of resources and production decisions. In this system, the government determines what goods and services will be produced, how they will be produced, and for whom they will be produced. The government sets production targets, allocates resources, and controls the distribution of goods and services. This type of economy is often associated with centrally planned economies, where the government plays a dominant role in economic decision-making.

Chemicals, fabrics, and foods are all products that are created through the process of manufacturing. Manufacturing businesses involve the production of goods by using raw materials, machinery, and labor. These businesses transform raw materials into finished products that can be sold to consumers. The terms "manufacturing" and "manufacture" both refer to the process of making products on a large scale. Therefore, the correct answer for this question is "Manufacturing, Manufacture."

Shopping malls, Krogers, and Best Buy are examples of a retail business. Retail refers to the sale of goods or services to the final consumer for personal use. These establishments mentioned in the question are all involved in selling products directly to customers, making them part of the retail industry. They offer a wide range of products and services to meet the demands of consumers in various locations, making them typical examples of retail businesses.