Business Plan Trivia 2

Question 1

Which section of a business plan is typically written last, even though it appears first?

Accepted Answer

Executive summary

Answer

The executive summary condenses the entire plan, so it is written after all other sections are complete.

Question 2

What does the acronym SWOT stand for in business planning?

Accepted Answer

Strengths, Weaknesses, Opportunities, Threats

Answer

SWOT analysis evaluates internal strengths and weaknesses alongside external opportunities and threats.

Question 3

In financial projections, what is the break-even point?

Accepted Answer

When total revenue equals total costs

Answer

The break-even point is where revenue exactly covers all fixed and variable costs, producing zero profit or loss.

Question 4

Which business plan section describes your target customers and competitors?

Accepted Answer

Market analysis

Answer

The market analysis section covers industry outlook, target market demographics, and the competitive landscape.

Question 5

What is a 'lean' business plan best known for?

Accepted Answer

Being a short, one-page summary of strategy

Answer

A lean business plan condenses strategy, tactics, milestones, and forecasts into a brief, often one-page, format.

Business Plan Practice Test