Republic of the Philippines

Commission on Higher Education

Region V
LIGAO COMMUNITY COLLEGE
Soledad St., Guilid, Ligao City
Email-Address: ligaocomunitycollege@gmail.com
Tel. Nos.: 0926-772-1213 / (052) 830 – 6446
MIDTERM EXAMINATION in
ENTREPRENEURIAL MIND
Name: _______________________________ Course and Year: ____________ Time Taken: ______________ Time Ended: _______________
Part I. Multiple Choice
Directions: Read and analyze each question carefully. Select the best answer to the following questions. Write
only the letter of your choice

1. Which of the following BEST describes the term Entrepreneurship?

A. The person who takes initiative, organizes some social economic mechanisms and accepts risk of failure
B. Ability to determine and come up with the proper combination of the resources available in his
environment and transform this into an output of either goods or services
C. The process of finding and promoting existing productive factors that can help the economy grow
D. An individual with managerial capabilities separate from an entrepreneur’s capabilities and able to identify
opportunities and develop small enterprise.
2. The following are the socio-economic benefits of entrepreneurship, except
A. Boost economic growth by introducing innovative technologies, products, and services and provides taxes to
economy
B. Increased competition from entrepreneurs challenges existing firms to become more competitive.
C. Entrepreneurship helps promotes self-esteem and unemployment to individual
D. accelerate structural change by replacing established, sclerotic firms
3. Successful entrepreneurs believe in themselves. They do not believe the success or failure of their venture will
be governed by fate, luck or similar forces. What attribute is being shown by a successful entrepreneur?
A. Determination and Perseverance
B. Tolerance for Ambiguity
C. Internal locus of control
D. Tolerance for Failure
4. Which of the following statement shows the “drive to achieve” as one of the characteristics of a a
successful entrepreneurs?
A. a strong desire to know how well they are doing and how they could improve their performance
B. they decide to take part in a venture, they do so in a very calculated, carefully thought-out manner.
C. believe fate, chance or similar factors can control the success or failure of their company
D. as self-starters who appear to others to be internally driven by a strong desire to compete.
5. When Henry Sy, decided to start a business despite of the possible risk it may involve, he never doubted
and continue for what he aimed for. What type of characteristics of a successful entrepreneur is shown
by Henry Sy?
A. Discipline
B. Committed
C. Risk-taker
D. Hardwork
6. Which one is TRUE about an entrepreneurship?
A. There are lots of risks and rewards involved
B. They do not hire any employees
C. They are always well-funded and carefully planned
D. There are no known risks
7. Which type of entrepreneurship is designed to achieve specific social objectives as its primary purpose.
It strive to maximize profits while also maximizing positive impacts on society and the environment.
A. Social entrepreneurship
B. Small business entrepreneurship
C. Large Company entrepreneurship
D. Scalable entrepreneurship
8. Which of the following is NOT a managerial skill that makes successful entrepreneur?
A. The ability to plan and conceptualize
B. The ability to organize the resources of the enterprise
C. The ability to direct and motivate people in his organization
 D. The ability to control, manage time poorly and adapt to environment
9. Which of the following employees would most likely be described as “innovative” by his/her supervisor:
A. John, because he is always willing to adapt to changes during a project
B. Myrna, because she prefers to stick to traditional ideas and processes
C. Jessa, because she gets frustrated when she needs to learn new skills
D. Jason, because he is usually quiet during brainstorming sessions
10. Gerald is experiencing a business sales decline. During these times, he was able to bounce back during
these challenging circumstances. This pertains to what character traits of Gerald as an entrepreneur?
A. Adaptability
B. Passion
C. Vision
D. Resilience
11. Gregg is able to shift roles in the company where he is engaged into. If you were Gregg who was
adapting to change that allows you to face new challenges and situations as they arise, what character
traits of an entrepreneur is being referred to?
A. Vision
B. Passion
C. Adaptability
D. Resilience
12. Jessy take on something that other people have tried and failed at, or are just not interested in doing,
what quality of a successful entrepreneur does Jessy possesses?
A. Opportunity Recognition
B. Initiative
C. Creativity and Innovation
D. Collaboration and Communication
13. Liza tries to analyze the problems in their community and understands what exactly their community
needs. She also considered as to the possible problems that can be solved and the added value to the
lives of the people. Liza is attentive to her environment, analyzing and scanning it that her idea would
turn into a venture. This is called ________.
A. Identification of business opportunity
B. Product creation
C. Organizing the business enterprise
D. Running the business
14. Which of the following does NOT describes a business opportunity?
A. Opening in the market
B. A situation that should be taken advantage of by entrepreneurs
C. Investing of resources to fill the gap in the market
D. It’s a fuel that keeps the business going
15. This refers to the human workforce including the employees and staff on the business
A. Skills
B. Manpower
C. Supplies
D. Technology
16. Which of the following is NOT TRUE about innovation?
A. When an entrepreneur identifies an opening in the market
B. When an entrepreneur makes something different
C. When an entrepreneur finds new opportunity
D. When an entrepreneur designs new structure/models
17. The first step in Market Research is______.
A. Analyzing data
B. Defining the problem
C. Gathering the data
D. Planning the research
18. Which of the following describes a Creation?
A. It’s the process of looking for prospective buyers
B. This is used in improving products and services out of existing ones
C. It serves as a fuel that keeps the business going
D. This is the process of creating new product to solve a market problem
19. Which of the following statement is NOT TRUE?
A. Entrepreneurs can succeed alone.
B. Entrepreneurs view failures as opportunity to learn
C. Entrepreneurs stay competitive
 D. Entrepreneurs are known to be dedicated and determined
20. He was known as the “Father of Modern Philippine Retail”.
A. Edgardo Sia
B. Tony Tan Caktiong
C. Henry Sy
D. Mariano Que
21. Alfredo Yao is known to be the Juice King of the Philippines because of his innovation of Doy
Packaging Technique as a main packaging of his own juice. He was able to achieve beyond what he
could ever imagine. What characteristic is shown by Yao?
A. Drive to achieve
B. Vision
C. Adaptability
D. Risk taking
22. Jose Magsaysay also popular as “Jomag” started his journey with the idea of his partners on the existing
flavored popcorn in the Philippines. By which the also adapt the same strategy in his French fries
product. What characteristics of a successful entrepreneur did Jomag manifested?
A. Creativity
B. Innovative
C. Hardwork
D. Perserverance
23. The following are advantages of a Sole Proprietorship business except__
A. The business is easy to set up
B. Decision making is left entirely to the owner
C. Growth limited by owner’s financial means
D. The profit is solely enjoyed by the owner.
24. Which of the following shows disadvantages in running a partnership?
A. Relatively easy to set up
B. Check and balance maintained with two owner
C. Decision making is left with the partners
D. May be endangered with conflicts between partners
25. This form of business ownership is considered as a legal entity that is separate and distinct from its
owners. Under the law, they possess many of the same rights and responsibilities as individuals. They
can enter into contracts, loan and borrow money, sue and be sued, hire employees, own assets, and pay
taxes
A. Sole proprietorship
B. Partnership
C. Corporation
D. Cooperative
26. Which of the following steps is NOT included in registering a cooperative?
A. Must have atleast 15 members
B. Prepare the articles of cooperation
C. Register with the CDA
D. Register their name with DTI
27. What does limited liability means?
A. Owner’s may have limited influence on the management
B. It prevents individuals from being held personally responsible for their company's debts
C. You share the risks and losses with the other partners including the financial obligations
D. Greater room for improvement and professionalism in the management
28. If you are a sole proprietor and your business is using a name other that your true name, that business
should be registered to what agency?
A. Local Government Unit
B. Securities and Exchange Commission
C. Department of Trade and Industry
D. Cooperative Development Authority
29. Which of the following describes a partnership form of business?
A. It is owned by one person who makes the decision on his own
B. It is a voluntary association with atleast 15 members to be establish
C. A separate legal entity that is distinct from its owners
D. A business owned by two or more persons who agreed to share capital and profit
30. What agency has the right to verify/approved a proposed name of a partnership/corporation?
A. Department of Trade and Industry
B. Bureau of Internal Revenue
 C. Securities and Exchange Commission
D. Social Security System

Test II True or False

31. SWOT Analysis analyze what are the possible gaps in the business that needs to be improved.
32. One of the guidelines in entrepreneurship is to look for business opportunities in one specific market.
33. The customer’s needs and wants need not to be satisfied always since it will just require a critical
assessment and time consuming.
34. It is necessary to know your competitors so that you can create strategies to make their business fail and
end up closing it.
35. The weakness of a business represents the things that they do not have which the competitor has.

Test III Enumeration

36 - 40 – Give at least 5 Characteristics of an Entrepreneur

41 - 44 – Enumerate the 4 Areas of Entrepreneurship
45 – 50 Give at least 6 General Requirement and/or Procedure in business registration