Beta Company Was Founded in 2014 $\$ 4,000$ , Paid Zero Dividends
2013: Net Income

question 170

Multiple Choice

Beta Company was founded in 2014.Its yearly earnings and dividend payments are shown here: 2012: Net income $\$ 4,000$ , paid zero dividends
2013: Net income $\$ 20,000$ , paid $\$ 10,000$ dividends
2014: Net income of $\$ 8,000$ , paid $\$ 5,000$ dividends
2015: Net loss of $\$ 22,000$ , paid zero dividends At the end of 2015,which of the following statements would be accurate?

• A) Beta has a cumulative operating loss.
• B) Beta has a retained earnings deficit.
• C) Beta has retained earnings surplus.
• D) Beta has negative contributed capital.

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Definitions:

Timmons Model

A model of entrepreneurship that emphasizes the dynamic balance between the entrepreneur, the opportunity, and the resources needed.

Entrepreneurial Process

The journey of identifying a business opportunity, resources acquisition, and the management of growing the business venture.

Brain Trust

A group of experts or highly knowledgeable individuals brought together to provide advice and guidance on complex matters or strategic decisions.

Resource Acquisition

The process of obtaining the necessary resources, such as capital, materials, or human skills, needed for business operations or project initiation.