The Partnering for Success Feature in Chapter 3 Focuses on the Task

question 61

Multiple Choice

The Partnering for Success feature in Chapter 3 focuses on the task of finding the right business partner. According to the feature, which of the following is an incorrect rule-of-thumb in finding a business partner?

• A) Know the skills and experiences you need in a partner.
• B) Make sure you and your partner's work habits are compatible.
• C) Make sure you and your partner have common goals and aspirations.
• D) Pick a partner that is similar rather than different from you in terms of skills, abilities, and functional background.
• E) Hire a lawyer to negotiate the partnership agreement.

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Definitions:

Unit Sales

A measurement of the total quantity of units of a product sold by a company.

Contribution Margin

The sum left over from sales income once all variable costs are subtracted.

Fixed Expenses

Costs that do not change with the level of production or sales over a certain time period, such as rent, insurance, and salaries.

Break Even

A situation where the overall expenses match the overall income, causing zero net profit or loss.