Discover Your Entrepreneurial IQ: 10-Question Business Quiz
Take our 10-question IQ quiz to discover your entrepreneurial IQ. Evaluate your business skills and see how you stack up against other entrepreneurs.
LD Web Desk 1. A business has fixed costs of $100,000 and variable costs of $25 per unit. If the product sells for $50 per unit, how many units must be sold to break even?
2,000
3,000
4,000
5,000
Correct Answer
Wrong Answer
2. If a company's annual dividend is $2 per share and its stock is trading at $40 per share, what is the dividend yield?
2%
4%
5%
6%
Correct Answer
Wrong Answer
3. A business has a profit margin of 15% and revenue of $1,000,000. What is the net profit?
$100,000
$125,000
$150,000
$200,000
Correct Answer
Wrong Answer
4. If a company has 20,000 shares outstanding and issues 5,000 more shares, what is the new total number of shares outstanding?
22,000
24,000
25,000
27,000
Correct Answer
Wrong Answer
5. A company has an EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) of $500,000, depreciation of $50,000, and amortization of $20,000. What is the EBIT (Earnings Before Interest and Taxes)?
$400,000
$430,000
$450,000
$480,000
Correct Answer
Wrong Answer
6. If a product costs $20 to produce and is sold for $35, what is the gross profit margin?
35%
42.86%
57.14%
75%
Correct Answer
Wrong Answer
7. A business has current assets of $600,000 and current liabilities of $300,000. What is its current ratio?
1
1.5
2
2.5
Correct Answer
Wrong Answer
8. If an entrepreneur wants to save $10,000 in 2 years and the bank offers a 5% annual interest rate, compounded annually, how much should they invest now?
$8,890
$9,050
$9,100
$9,300
Correct Answer
Wrong Answer
9. A company's revenue is $800,000, and its net profit is $120,000. What is the net profit margin?
10%
12.5%
15%
20%
Correct Answer
Wrong Answer
10. If a company has sales of $1,200,000 and the cost of goods sold (COGS) is $720,000, what is the gross profit?
$420,000
$480,000
$500,000
$520,000
