1. Assets that will be converted into cash within one year are called

a)Short-term assets

b)Long-term assets

c)Capital assets

d)Financial assets

2. An amount of money borrowed from a lender is known as the

a)Interest rate

b)Principal

c)Maturity length

d)Prime interest rate

3. A clause that requires the borrower to maintain a minimum level of working capital until the loan is repaid is known as

a)Covenants

b)Assurances

c)Endorsements

d)Guarantors

4. The two types of loan endorsers are

a)Borrowers and guarantors

b)Guarantors and comakers

c)Borrowers and lenders

d)Comakers and borrowers

5. The best time for a small business to get a lawyer is

a)When the business is in trouble

b)During court hearings

c)When writing the business plan

d)While the business is still an idea

6. The act of keeping prices artificially high is referred to as

a)Monopoly

b)Collusion

c)Zoning

d)Antitrust

7. The Civil Rights Act of 1964 prevents discrimination on all of the following grounds except

a)Sex

b)Race

c)National origin

d)Pregnancy

8. __________ is the practice of using different cutoff test scores for different groups.

a)Score norming

b)Race norming

c)Group norming

d)Job norming

9. For businesses with fewer than _______ fulltime employees, there is no health insurance requirement, according to the Health Care Reform Act.

a)10

b)50

c)30

d)100

10. The number of products a business plans to sell during a future time period is known as the

a)Product projections

b)Sales predictions

c)Sales forecast

d)Sales estimates