You Ask Your Friends Who They Plan to Vote for in the Next

question 3

Multiple Choice

You ask your friends who they plan to vote for in the next congressional election. Based on their responses, you conclude that the candidate you favor cannot lose! This is most likely an example of ...

• A) voluntary response bias
• B) sampling bias
• C) randomized sampling
• D) self-interest bias

Recognize the factors contributing to the success of obtaining funding for a new venture.

Comprehend the concept of leverage and its effects on magnifying potential returns.

Identify the challenges and prerequisites for securing loans for startup businesses.

Distinguish between the two types of funds (debt and equity) available to small business owners.

---

Definitions:

Internal Control

Initiatives and standards implemented by a firm to assure the correctness of financial and accountancy details, encourage integrity, and obstruct fraudulent activities.

Journal Entries

The method by which all business transactions are initially recorded, using a system of debits and credits, to maintain the financial records of an entity.

Segregation Of Duties

A key internal control that prevents fraud and errors by ensuring that no single individual has control over all aspects of a financial transaction.

Custody

The protective care or guardianship of someone or something, often referring to the control over assets or minors.