Miles' Startup Company Began Well, but Within a Couple Months

question 37

Multiple Choice

Miles' startup company began well, but within a couple months he found he was unable to pay invoices from suppliers. He didn't understand how he could have this problem. He hired experts; his business idea was sound; and he had many new customers. What went wrong?

• A) Miles lacked critical technologies.
• B) Miles lacked patents or copyrights.
• C) Miles lacked raw materials.
• D) Miles lacked cash resources.

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Definitions:

Income Quintile

A statistical measure that divides a population into five equal groups according to their income levels, used to analyze income distribution.

Highest Quintile

Refers to the top 20% of the population sorted by income or wealth, indicating those with the highest levels of each.

Welfare Reform Act

Legislation aimed at changing the welfare system by encouraging work, limiting the duration of benefits, and supporting families.

Poverty Rate

The poverty rate measures the proportion of a population living below the poverty line, indicating the percentage of people whose income falls below a threshold necessary for basic living standards.