Marketing Defined Explained Applied 2nd Edition by Michael P Levens -Test Bank

Chapter 11 The Marketing Plan

1) A(n) ________ is a written document that defines the operational and financial objectives of a business over a particular time, and defines how the business plans to accomplish those objectives.
A) marketing plan
B) business plan
C) investment plan
D) executive summary
E) business overview
Answer: B
Diff: 1 Page Ref: 107
Skill: Concept
Objective: 11-1

2) After a title page, the next part of a typical business plan is the ________.
A) product overview
B) market overview
C) competitive overview
D) management overview
E) executive summary
Answer: E
Diff: 2 Page Ref: 147
Skill: Concept
Objective: 11-1

3) Which of the following is NOT one of the main elements of a typical business plan?
A) product overview
B) market overview
C) business overview
D) promotions overview
E) financial overview
Answer: D
Diff: 1 Page Ref: 147
Skill: Concept
Objective: 11-1

4) In addition to the elements that are usually included in a business plan, a start-up business would also need to include information on ________.
A) competition
B) operations
C) capitalization
D) customer benefits
E) management
Answer: C
Diff: 2 Page Ref: 147
Skill: Concept
Objective: 11-1
5) In which of the following sections of a business plan would a not-for-profit business most likely discuss its capacity to benefit its customer target?
A) executive summary
B) service overview
C) competitive overview
D) management overview
E) financial overview
Answer: B
Diff: 2 Page Ref: 147
Skill: Concept
Objective: 11-1

6) It is most accurate to say that a business plan is used to communicate the performance and direction of a business to ________.
A) targeted markets
B) consumers
C) government regulators
D) potential investors and stakeholders
E) marketers
Answer: D
Diff: 2 Page Ref: 147
Skill: Concept
Objective: 11-1

7) A(n) ________ identifies business revenues, expenses, and profits.
A) business statement
B) income statement
C) capitalization statement
D) cash-flow statement
E) market sheet
Answer: B
Diff: 3 Page Ref: 147
Skill: Concept
Objective: 11-1

8) A(n) ________ identifies how much cash is needed to meet financial obligations and the source of that cash.
A) business statement
B) income statement
C) capitalization statement
D) cash-flow statement
E) balance sheet
Answer: D
Diff: 3 Page Ref: 147-148
Skill: Concept
Objective: 11-1
9) A(n) ________ is used to determine the net worth of a business.
A) business statement
B) income statement
C) capitalization statement
D) cash-flow statement
E) balance sheet
Answer: E
Diff: 3 Page Ref: 148
Skill: Concept
Objective: 11-1

10) Which of the following best describes how a company should use a business plan?
A) A company should create its business plan by the end of its first year in business.
B) A company should have a business plan in place from the start.
C) Once in place, the business plan should be revised every month.
D) Consistent internal conditions should lead management to keep the same business plan.
E) Changing external conditions should not lead management to create a new business plan.
Answer: B
Diff: 2 Page Ref: 148
Skill: Concept
Objective: 11-1