Chapter 1
Business Acquisition Quiz
Test your knowledge about buying and managing businesses with our engaging quiz! This quiz covers essential concepts such as intangible assets, risks of business acquisition, and the role of intermediaries in the buying process.
- 8 Multiple Choice Questions
- Assess your understanding of business transactions
- Learn key facts that can help in real-life business situations
"Goodwill" is classified as:
intellectual property.
Licensing rights.
a key ratio.
An intangible asset.
The single biggest danger for the new business buyer is:
Overvalued assets.
interference from the previous owner.
Lack of market.
hidden company debts.
On average, the risk of buying an existing business is
The same as for starting a brand new business.
Higher than for starting a brand new business.
Lower than for buying a franchise.
Lower than for starting a brand new business.
Real estate agents often act as intermediaries for the sale of a business.
True
False
"Taking over" a company means buying more than 50% ownership.
True
False
It is relatively easy to change an existing negative image of a firm.
True
False
Market refers to number of customers inclined to purchase your product and with money to purchase your product
True
False
Buying an independent business is on average lower risk than buying a franchise.
True
False
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