Entrepreneurship

Score: / 10

Circle the best answer for each question. Each question is worth 1 point.

1. Which is the strongest starting point for a new business?
- A. A cool product you'd personally enjoy making
- B. A frequent, painful problem that people already try to solve
- C. A trending buzzword
- D. A business your friend started
2. Which customer interview question is most useful?
- A. "Would you buy this if I made it?"
- B. "Isn't this problem annoying?"
- C. "How much would you pay, hypothetically?"
- D. "What did you do the last time this happened to you?"
You're testing a tutoring app idea.
3. What's a good MVP?
- A. Spend a year building a full app with every feature
- B. Match students with tutors using a simple form and group chat to see if people use and pay for it
- C. Design a logo and wait
- D. Ask 100 people if they like the idea
Fixed costs are $240 a month. You sell bracelets for $10 that cost $4 each to make.
4. How many bracelets do you need to sell to break even?
- A. 24
- B. 60
- C. 40
- D. 17
5. Your costs set the floor for your price, and the value to customers sets the ceiling.
True/False
A company sends you free headphones and asks you to post about them.
6. What's the honest way to post?
- A. Clearly disclose that they were gifted, like "#gifted" or "#ad"
- B. Say you bought them yourself
- C. Post nothing about the connection
- D. Hide the disclosure in a comment
A customer says, "I'm not sure this is worth it."
7. What's the best next step?
- A. Offer a big discount immediately
- B. Argue until they agree
- C. Ask about their situation and connect your value to it — or be honest if it's not a fit
- D. Ignore the concern
A student's business earns $700 in net profit over the summer.
8. What's generally true under IRS rules?
- A. Minors never owe taxes on business income.
- B. Only businesses with employees file taxes.
- C. Net self-employment earnings of $400 or more generally require filing a tax return.
- D. Income paid through apps isn't taxable.
9. A one-page business plan should be updated as you learn from customers.
True/False
10. Which pitch ending is best?
- A. "So yeah, that's it."
- B. "We're looking for two school partners to pilot this in January."
- C. "Any questions? No? Okay."
- D. "We're going to be a billion-dollar company."

Answer key

Entrepreneurship · Short version

1. B. A frequent, painful problem that people already try to solve (Final review)Frequent, painful problems with existing workarounds show real demand.
2. D. "What did you do the last time this happened to you?" (Final review)Past behavior predicts future behavior better than hypothetical answers.
3. B. Match students with tutors using a simple form and group chat to see if people use and pay for it (Final review)The simplest version that solves the problem lets you test real demand quickly.
4. C. 40 (Final review)Contribution = $10 − $4 = $6. Break-even = $240 ÷ $6 = 40.
5. True (Final review)Below cost you lose money; above the customer's value, they won't buy.
6. A. Clearly disclose that they were gifted, like "#gifted" or "#ad" (Final review)The FTC expects gifted or paid promotions to be clearly disclosed.
7. C. Ask about their situation and connect your value to it — or be honest if it's not a fit (Final review)Objections are questions. Listening helps you show real value or recognize a poor fit.
8. C. Net self-employment earnings of $400 or more generally require filing a tax return. (Final review)The $400 self-employment threshold applies regardless of age or how you were paid.
9. True (Final review)Early plans are assumptions. Updating them keeps the plan useful.
10. B. "We're looking for two school partners to pilot this in January." (Final review)A specific ask tells the audience exactly how they can help.