Which of the Following Statements Is True About Sources of Financing

question 111

Multiple Choice

Which of the following statements is true about sources of financing for entrepreneurs?

• A) Banks and government loans provide much larger portions of start-up funds than the personal resources of owners.
• B) Lending institutions such as banks are more likely to help finance the purchase of an existing business than a new business.
• C) Getting money from banks and government loans is an easy task for business owners.
• D) Business owners have to spend very little time in business plans and other documents while borrowing money from banks.
• E) Government loans have flexible eligibility guidelines to encourage entrepreneurship among the general public.

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Definitions:

Goal Setting

The method of pinpointing objectives that are specific, measurable, attainable, pertinent, and limited by time for successful accomplishment.

Different Reward Programs

Various schemes or plans designed to motivate and compensate employees or participants, often including financial incentives, benefits, or non-material recognitions.

Goal Difficulty

The extent to which a goal is challenging and requires effort to achieve, often impacting motivation levels.

Goal Clarity

The extent to which the objectives to be achieved are clearly defined and understood.